Securities fraud can be difficult to detect, and frequently involves securities that are properly registered on a legitimate exchange and promoted by licensed brokers, firms, investment banks, or other parties involved in the market. It is often underhanded actions by companies, or third-parties assisting them, that lead to defrauded investments and a loss of capital.
If you are an investor and believe that you have been misled or otherwise deceived about the true nature or value of certain securities, you may be the victim of securities fraud. The New York licensed securities fraud attorneys at Silver Law Group can help by assessing whether you have been affected by investment fraud and guide you through the process of filing a claim – often as a class action – to recover your losses.
Securities fraud occurs when an individual or entity deceives investors by providing misleading or false information about securities. The deception could be designed to induce investors to buy or sell stocks as a means of manipulating the market, gaining personal profit, or achieving other fraudulent goals.
These schemes can lead to tremendous, wide-ranging financial harm for investors. Common examples of securities fraud include pump-and-dump schemes, Ponzi schemes, pyramid schemes, and misrepresenting financial information. There are numerous elements to securities fraud, but deception and intentional distortion of material facts to influence investors decisions are two core tenets.
Fraudsters may use market manipulation, insider information, or even false advertising to artificially inflate or deflate a stock’s price and persuade investors to buy or sell. Potential signs of securities fraud can include:
Securities fraud can involve licensed securities or registered brokers that seem legitimate. Even if these securities are correctly registered, fraudulent activities can still occur concerning its sale or promotion.
Licensed securities are financial products such as options, stocks, bonds, and mutual funds that a securities-licensed professional is authorized to buy, sell and advise clients on. One of our New York attorneys at Silver Law Group can analyze your investment transactions and communications if you believe that you have a valid securities fraud claim.
In addition to speaking with a New York City attorney if you believe that you are the victim of securities fraud, there are proactive steps you can take to protect yourself from being defrauded. Carefully check the background of any investment and the individuals promoting it, and check the legitimacy of companies and investment opportunities through reliable sources.
The goal of securities fraud is to mislead investors about the investment’s true nature or value to achieve an intended result, such as to artificially inflate a stock price. These schemes may be perpetrated by licensed brokers along with parties including well-known financial firms, brokerages, investment advisors, and hedge funds involved in the market.
You should not contact any brokers or firms that you believe could be involved in suspected securities fraud. If you believe that any securities you own may actually be masking fraud, you should consult with a New York attorney as soon as possible.
You may be able to seek damages in a civil lawsuit. Securities class actions can also be a litigation option to help groups of investors who have suffered losses from the actions of the same fraudster or third party. By joining a securities class action, the claims are consolidated and any winning settlement is disbursed among all members proportionate to their own losses.
If you believe that one of your investments may have been affected by false statements, omissions, or even a Ponzi scheme, the legal team at Silver Law Group is your trusted ally in seeking justice. Our New York licensed securities fraud attorneys can navigate the complex legal landscape of securities regulation to maximize your chances of recovering compensation.
We regularly represent securities fraud victims across the nation in cases against large financial institutions and bad actors who aided and abetted fraud. Contact Silver Law Group today to request your confidential, one-on-one case consultation. We work on a contingency fee, so you owe us absolutely nothing unless you win.
