Woodbridge Group (Woodbridge Wealth) Investment Losses
Have you suffered losses investing in Woodbridge Group Promissory Notes?
The White Law Group continues to investigate potential claims involving broker dealers who may have unsuitably recommended Woodbridge Group offerings to investors. Investors may be able to file a FINRA arbitration lawsuit to recover losses in Woodbridge.
According to a press announcement on Jan. 28, 2019, a federal court in Florida reportedly ordered Woodbridge Group of Companies LLC and its former owner to pay $1 billion in penalties and disgorgement for allegedly operating the Woodbridge Ponzi scheme that targeted retail investors.
Woodbridge and its 281 related companies were reportedly ordered to pay $892 million in disgorgement by the Honorable Judge Marcia G. Cooke of the U.S. District Court for the Southern District of Florida.
The court ordered former owner and CEO Robert H. Shapiro to pay a $100 million civil penalty and to disgorge $18.5 million in ill-gotten gains plus $2.1 million in prejudgment interest, according to the press release.
Last year, the SEC sued to freeze its assets, accusing it of selling unregistered securities to raise funds to repay earlier investors, not long after Woodbridge filed for bankruptcy protection.
The SEC alleges that Woodbridge Group investors are owed more than $961 million, and has further alleged the company’s owner, Robert Shapiro, used at least $21 million for private jets, luxury cars, wine and political donations. Shapiro has denied the allegations.
False Promises for Investors
The company raised a staggering $1.2 billion from 8,400 investors, beginning in 2012. Many of the investors were senior citizens. The securities reportedly promised interest of up to 8 percent, according to the SEC’s complaint.
Woodbridge went under the radar by distributing its securities through insurance agents and unregistered investment advisers who were earning large commissions, according to the SEC. The company also reportedly sold securities through seminars and television advertising.
Recovery of Investment Losses
The White Law Group has received numerous calls from investors who lost money in Woodbridge Group offerings, including the following:
Woodbridge Mortgage Investment Fund I
Woodbridge Mortgage Investment Fund II
Woodbridge Mortgage Investment Fund III
If you have suffered losses investing in the Woodbridge Group investments, you may have recourse. The securities attorneys at The White Law Group may be able to help you recover your losses. Please contact The White Law Group at 1-888-637-5510 for a free consultation.
The White Law Group, LLC is a national securities fraud, securities arbitration, investor protection, and securities regulation/compliance law firm with offices in Chicago, Illinois and Franklin, Tennessee.
For more information on the firm, visit www.WhiteSecuritiesLaw.com.