Civil Lawsuit involving Michael Knittel alleges investment Losses in Schmook Ranch LLC
The Financial Industry Regulatory Authority (FINRA) has reportedly suspended broker and investment advisor Michael Murray Knittel (CRD#: 3274235) from the securities industry for four months after allegations that he participated in a private securities transaction involving a $245,000 investment without providing prior written notice to his member firm, Fortune Financial Services.
According to FINRA, Knittel allegedly recommended that investors invest in a promissory note issued by a limited liability company to fund the renovation of a residential property and to pay for legal fees associated with renegotiating an existing lien on the property.
According to FINRA’s findings, the investors would allegedly receive repayment of their principal and a share of profits upon the sale of the property. Knittel purportedly introduced the investors to an owner of the company and reportedly provided the investors with information and documents about the investment, including a draft subscription agreement. After the investors invested, Knittel allegedly received $10,000 from the company. The investors then reportedly filed a civil suit against Knittel and he purportedly sent them the $10,000, according to FINRA.
According to a Placer County civil lawsuit (Case number S-CV-0046600) filed on April 23, 2021, four investors are suing Knittel and Lagunitas Asset Management and others for allegations of securities fraud involving an alleged real estate investment, Schmook Ranch LLC and purported investment losses.
According to his FINRA BrokerCheck report, Knittel has one customer complaint on his record. He was reportedly affiliated with the following firms, among others, during his career in the securities industry:
6/20/2013 – present, LAGUNITAS ASSET MANAGEMENT, LLC (CRD#:166781)
01/27/2015 – 12/31/2021, FORTUNE FINANCIAL SERVICES, INC. (CRD#:42150), El Dorado Hills, CA,
05/10/2013 – 01/30/2015, J.W. COLE FINANCIAL, INC. (CRD#:124583), FOLSOM, CA
11/10/2010 – 05/10/2013, FINANCIAL ADVISERS OF AMERICA, LLC (CRD#:142170), FOLSOM, CA
Potential Lawsuits to Recover Financial Losses
The White Law Group is investigating potential securities fraud lawsuits regarding the liability that Knittel’s employers may have for failure to properly supervise him.
When brokers and registered investment advisors violate securities laws, such as churning accounts or making unsuitable investment recommendations, the brokerage firm they are working with may be liable for investment losses through FINRA Arbitration. Brokerage firms that fail to monitor the business activities of their employees may be liable for investment losses due to negligent supervision for the misconduct of their employees.
The White Law Group is a national securities fraud, securities arbitration, and investor protection law firm with offices in Chicago, Illinois and Seattle, Washington.
We represent investors in all 50 states including California. Our attorneys have recovered millions of dollars from many brokerage firms in the past.
If you are concerned about your investments with Michael Knittel, please call the securities fraud attorneys at The White Law Group at 888-637-5510 for a free consultation.
For more information on The White Law Group, and its representation of investors, please visit www.WhiteSecuritiesLaw.com.