If you have lost money to a Ponzi scheme, consult with a lawyer who is highly experienced in securities fraud to understand your legal options and potential avenues for recovering losses. You can explore the possibility of joining a class action lawsuit or initiating litigation against the perpetrators of the Ponzi scheme.
A New York Ponzi scheme lawyer can seek financial restitution for your losses, determine the legally responsible individuals or entities, and formulate an action plan to pursue loss recovery. Our attorneys are admitted in New York, Florida, and California, and represent investors nationwide in securities and investment fraud cases.
A Ponzi scheme is a fraudulent investment scheme that pays existing investors with money contributed from new investors. The goal is to make it look like the investment is profitable, and a Ponzi scheme often promises investors high returns for minimal to no risks. You might remember this as the basis for the Bernie Madoff scandal at the time of the 2008 financial crisis.
Not only are Ponzi schemes founded on an illegitimate venture or investment, but if the inflow of capital stops, the Ponzi scheme collapses. Warning signs of a Ponzi scheme can include:
If you or a loved one has put money into a suspected Ponzi scheme or it has already been exposed, contact a New York City attorney right away to investigate the situation and identify potential legal recourse.
For Ponzi scheme victims, primary litigation options include filing a civil lawsuit against the perpetrators of the scheme. This is the most common route, where victims can sue the perpetrators directly to recover their lost funds, potentially including punitive damages depending on the jurisdiction and severity of the fraud.
Besides the primary perpetrator, victims may also take action against brokers, banks, accountants, or other entities that facilitated or abetted the scheme. Due to the complex legal nature of Ponzi schemes, it is crucial to consult with an experienced New York attorney to assess your options and navigate the litigation process.
If numerous victims are involved, a class action lawsuit can be filed to consolidate claims and potentially achieve greater bargaining power against the defendant. In a Ponzi scheme class action, a lead plaintiff files a complaint alleging that a person or entity violated securities laws by perpetrating a Ponzi scheme.
The lead plaintiff in a Ponzi scheme class action lawsuit is the individual who represents the entire group of plaintiffs, acting as the face of the class and actively participating in the legal proceedings on behalf of all class members. The court must decide whether to certify the class, meaning a group of investors with similar claims can be represented as a single unit. If the case proceeds and a settlement is reached, class members are notified of the settlement terms and given the opportunity to submit a claim to receive a portion of the settlement funds.
The lawyers at Silver Law Group regularly represent defrauded investors on a contingency fee basis in class actions and individual litigation, including for Ponzi schemes. Commercial banks, investment banks, and other institutions that contributed to fraud can be liable for your losses.
Our managing partner, Scott Silver, began his career with a Wall Street law firm and has been admitted to practice in New York for over 25 years. Scott’s expertise in Ponzi schemes is frequently sought out by other lawyers and he routinely speaks at bar events and elsewhere about how to recover from a Ponzi scheme.
Our attorneys are nationally recognized for their work in securities litigation. We have recovered millions for Ponzi scheme clients through the years and regularly work alongside SEC receivers and bankruptcy trustees in these cases. If you believe you were defrauded in this way, contact a New York Ponzi scheme lawyer to request your free and confidential case consultation.
