Investor Alert: BlackBrush TexStar LP, Private Placement Investment
Are you concerned about your investment in BlackBrush TexStar LP? If so, the securities attorneys at The White Law Group may be able to help you by filing a FINRA Arbitration claim against the brokerage firm that sold you the investment.
BlackBrush Oil & Gas, L.P., an independent oil and gas exploration and development company, operates approximately 360,000 gross acres throughout South Texas.
According to SEC filings, the company filed a form D to raise capital from investors for the offering BlackBrush TexStar LP in 2011. The offering type was equity.
Investments such as these are typically sold by brokerage firms in exchange for a large up front commission. High fees can range from 7-10%, as well as additional “due diligence fees” that can range from 1-3%.
The problem with private placement investments such as BlackBrush TexStar LP is that they typically involve a high degree of risk. They are also often sold as unregistered securities which lack the same regulatory oversight as more traditional investment products like stocks or bonds.
Investigating Potential Lawsuits
The White Law Group is investigating the liability that FINRA registered brokerage firms may have for unsuitably recommending high-risk private placements to investors.
Despite the risks of investing in private placements, brokerage firms continue to push this type of investment because of the high commissions associated with their sale and creation.
If you have concerns regarding your investment in BlackBrush TexStar LP and would like to speak with a securities attorney about your options, please call The White Law Group at 888-637-5510.
The White Law Group is a national securities fraud, securities arbitration, and investor protection law firm with offices in Chicago, Illinois and Franklin, Tennessee.
For more information on The White Law Group and its representation of investors in FINRA arbitration claims, please visit https://www.whitesecuritieslaw.com.