Alabama Securities Arbitration Attorney
For a while now, Alabama seniors eyeing retirement have known about the state’s tax-friendly benefits, but also its vibrant and idyllic communities, whether in Birmingham, Vestavia Hills, Mobile, Fairhope, or the Gulf Shores. Seniors looking to spend their retirement years in these communities are eager to finally enjoy their hard-earned savings. For some, however, the dream of retirement can be instantly dashed by an unexpected brush with financial fraud. Swindlers and fraudsters are always looking to part people from their money, and they are always coming up with more sophisticated ways to do so. Hiring the right securities arbitration attorney can help you recover investment losses due to fraud.
The Alabama Securities Commission recently announced that it had indicted, Nicholas Houston Allen, a 35-year-old Montgomery resident, on one count of securities friend and one count of financial exploitation of the elderly, each being Class B felonies in Alabama with a possible prison penalty of two to twenty years. The allegations against Mr. Allen state that he solicited nearly $200,000 from a senior over the age of 65 to invest in his house-flipping company, Professional Fix, LLC. Mr. Allen apparently misappropriated the funds and used them instead to pay for his own personal expenses.
The Alabama Securities Commission, as well as other state regulators, have been active in filing enforcement actions relating to other frauds targeting seniors, including a Russian organization that was promoting fraudulent metaverse investments. The Commission announced that the Russian group was promoting the sale of NFTs (non-fungible tokens) through an entity called the Flamingo Casino Club, which is alleged to have started its operations in or around March 2022. The promotions falsely suggested that the entity was affiliated with the more well-known Flamingo hotel in Las Vegas, as well as deceived senior investors through claims it was also partnered with popular finance sites like Yahoo and MarketWatch. Investors were solicited through its website, as well as various social media sites, including Twitter, Telegram, Instagram, Discord, and YouTube. The Alabama Securities Commission further warned that investors should protect themselves through proper due diligence, as “[t]he same rules that apply to investments in the physical world continue to apply to investments in virtual worlds” – in the end, the same result is the loss of real money.
As frauds are always evolving, it is important to hire a securities arbitration law firm with experienced securities arbitration lawyers who have seen the many incarnations that fraud can take. In recognition of World Elder Abuse Awareness Day, the Alabama Securities Commission published a report of another fraud that targeted a senior through Facebook, where she was solicited to send cash and gift cards through the mail as “fees” for a small business loan. The Commission’s stated aim in this publication is “to protecting vulnerable adults from investing fraud.” Seniors, in particular, are targets of financial abuse because they are extra vulnerable, owing to many who are living alone and prone to cognitive decline in their elder years.
The truth is, anyone can fall prey to a financial scheme at any stage of life. Many Alabama investors, retirees and non-seniors alike, have learned this the hard way. Since 1999, the securities arbitration law firm of Malecki Law has worked to help support its clients and bring them favorable results. The firm represents investors, industry professionals, whistleblowers as well as everyday individuals who are impacted by the securities industry in some way. The firm’s founder, Jenice L. Malecki, has recovered tens of millions of dollars for senior investors and retirees, and has long been passionate about serving the underrepresented, in particular elderly victims of financial abuse. The securities arbitration attorneys at Malecki Law have experience in a range of cases including unsuitability, unauthorized trading, overconcentration, elder and affinity fraud, as well as overtrading and account churning. If you are an Alabama resident or retiree and have questions about whether you have a case, or if Malecki Law is right for you, call us for a free consultation.