Broker Faces Fraud Charges Related to Unregistered Cryptocurrency Securities

Since its recent infancy, fraud has plagued the cryptocurrency market. Combine cryptocurrency’s inherent obscurity with the fact that many potential investors do not know much more than what they have read about Bitcoin in headlines, and you get an entire industry that is ripe for abuse. FINRA Targets Alleged Cryptocurrency Securities Fraud Recently, the Financial …

FINRA Warns Investors of Scams Linked to Hurricane Florence

When Hurricane Florence ravaged the coastal Carolinas this summer, it left more than 50 people dead and an estimated $17 billion to $22 billion in damage in its wake. While the southeastern United States has seen more than its fair share of hurricanes in recent years, Florence was among the worst to make landfall, and …

U.S. Marshals Plan to Auction Off Bitcoin

Buying Bitcoin can be complicated, and those who decide to trade Bitcoins should consider getting advice from a Bitcoin attorney who can provide insight into the regulations and laws surrounding cryptocurrency markets. There’s one unorthodox way that you could purchase Bitcoin in the near future: you could buy it at an auction that is being …

We Haven’t Learned The Lessons Of The Financial Crisis

As we sit a few days past the ten-year anniversary of Lehman Brothers’ downfall on September 15, 2008, it is clear that Wall Street and investors have not learned the lessons of the financial crisis. Following the bankruptcy of Lehman Brothers, the entire financial system was on the verge of failure.  A panic and contagion …

Transamerica Settles SEC Misconduct Case for $97 Million

Transamerica Corporation (“Transamerica”) is a conglomerate of investment firms and life insurance providers serving retirement savers and other individual investors in the United States. Recently, the Securities and Exchange Commission (SEC) entered into a settlement with four Transamerica entities to settle allegations of investment fraud for more than $97 million. According to the SEC’s press …

Is Tesla Going To Pot?

It’s been a terrible summer for Tesla’s billionaire CEO, Elon Musk. Last month, Musk, who is Tesla’s single largest shareholder and owns 20% of the company,  said he was considering converting Tesla to a private company. The post not only sent the stock zooming upwards, it also caught the attention of securities regulators. Days later, Musk …

SEC Issues a Reminder: Know Your Investment Professional

“[C]heck the background of anyone selling or offering [you] an investment. No matter how good an investment may sound, verify that the person is currently registered or licensed and check his or her background.” This advice comes from the Securities and Exchange Commission (SEC), the federal agency responsible for overseeing the stock market in the …

LPL Agrees to $26 Million Settlement Following Allegations of Selling Unregistered Securities

LPL Financial, the largest independent securities brokerage firm in the United States, recently agreed to pay up to $26 million in fines for the sale of unregistered and non-exempt securities. The multi-million-dollar settlement is the result of an investigation conducted by the North American Securities Administrators Association (NASAA), which is an organization of state, provincial …

The SEC Could Learn A Thing Or Two From Puerto Rico

Thousands of Puerto Rico residents have filed investment fraud cases against UBS, Santander, Banco Popular and Oriental. Given the pain those investors are suffering in the aftermath of the collapse of Puerto Rico’s bond market, it’s hard to believe, but Puerto Rico could teach the Securities and Exchange Commission about protecting investors. Indeed, the island …

Stock Analysts Remain Deeply Conflicted

After the tech and telecom stock bubble burst in 2000, analysts at investment banks who hyped such failures as Pets.com and WorldCom were proven to be major culprits. Indeed, stock analysts at the time publicly praised tech and telecom companies in research reports, which brokers then used to sell shares to Mom and Pop investors. In …