Victims of Ponzi schemes frequently face devastating consequences, including substantial financial losses that can lead to debt, bankruptcy, and other forms of monetary harm. If you or a loved one has lost money to such a scheme, you should contact the experienced Ponzi scheme attorneys at Silver Law Group as soon as possible.
Our securities fraud attorneys can discuss your legal options for filing a Ponzi scheme lawsuit in South Florida. We can investigate the full extent of the fraud, identify all responsible parties, and pursue every possible remedy to recover maximum compensation for your losses.
A Ponzi scheme is a fraudulent investment scam that pays early investors with money from later investors, not from legitimate profits. Legitimate investments fluctuate with the market, but an investment that always delivers positive returns, regardless of market conditions, is suspicious.
Issuers typically register legitimate investments with regulatory bodies, such as the Securities and Exchange Commission (SEC), whereas unregistered securities and unlicensed individuals generally sell fraudulent schemes. Be wary of promoters who can’t or won’t explain how the investment generates profits. Incorrect or questionable account statements can indicate that your issuer is not investing your funds as promised.
Trouble cashing out your investment or receiving promised payments is a significant indicator of fraud. Scammers may also use pressure to keep you invested by promising even higher returns if you stay in the scheme. If someone has defrauded you in a Ponzi scheme, a South Florida attorney can explain whether you may be eligible to file a lawsuit. At Silver Law Group, we operate on a contingency fee basis, so there is no upfront cost to secure legal representation.
You can potentially sue a Ponzi scheme’s perpetrators—including the founders—and third parties who facilitated the fraud, such as brokerage firms, banks, accountants, and lawyers. Recovering losses often involves pursuing civil litigation against these parties; however, you may also have options through bankruptcy court claims, receivership actions, or SEC enforcement actions.
Investors often pursue fraudulent investment schemes through class action litigation, which is specifically designed for situations where a large number of people suffer similar harm. Put simply, a class action provides a more efficient and cost-effective method of seeking justice than filing individual lawsuits.
Your case alone may not attract a defendant’s attention, but a class action representing dozens or hundreds of people with combined losses of millions of dollars creates powerful leverage. Class actions can hold financially solvent third parties accountable for their role in the fraud. For example, you can sue them for failing to supervise their employees, aiding and abetting the fraud, or overlooking signs of suspicious activity.
A class action is more efficient for the court system, which would have to process hundreds of individual lawsuits with similar claims. It also frees individual class members from the intensive time and effort required by pursuing litigation. A representative plaintiff takes the lead, and other members play a passive role. In a successful class action, your compensation is paid from a settlement fund or court judgment, typically through a claims administrator who reviews proof of loss and calculates each plaintiff’s proportional share of the compensation.
Our attorneys regularly assist investors, such as you, by filing a Ponzi scheme lawsuit in South Florida. We represent investors in litigation to pursue the third parties who enabled the scheme. We offer a no-cost consultation to assess your specific situation and determine your legal options for recovery. Give us a call today to receive your one-on-one case review.
