Cetera Financial Group has stopped selling American Realty Capital sponsored REITs and other alternative investments. The suspension applies to all 10 Cetera brokerage firms, which includes First allied Securities, First Allied Securities, Girard Securities, Investors Capital, VSR Financial Services, and The Legend Group.
The sales suspension came the day after Massachusetts Secretary of the Commonwealth William Galvin charged Realty Capital Securities with proxy voting fraud. The commonwealth alleges RCS “steam rolled” shareholders into voting and in some cases RSC employees impersonated shareholders to cast fake votes for AE Capital sponsored funds. (Realty Securities Capital Charged with Proxy Voting Fraud)
According to InvestmentNews, “Executives at other independent broker-dealers said on Sunday that major clearing firms and other broker-dealers could possibly suspend sales of AR Capital products later this week in the wake of the fraud charges against RCS.”
The foregoing information, which is all publicly available, is being provided by The White Law Group.
The White Law Group continues to investigate potential claims involving AR Capital sponsored REITs and alternative investments. If you suffered losses investing in a AR Capital product and would like to discuss your litigation options, please call the securities attorneys of The White Law Group at (312)238-9650 for a free consultation.
The White Law Group is a national securities fraud, securities arbitration, and investor protection law firm with offices in Chicago, Illinois and Vero Beach, Florida.
For more information on The White Law Group, visit www.WhiteSecuritiesLaw.com.