Vernon Litigation Files Arbitration Claim On Behalf of Valrico, Florida Investors Sold GWG Bankrupt Bonds

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May 20, 2022, 18:05 ET

NAPLES, Fla., May 20, 2022 /PRNewswire/ -- Vernon Litigation Group, based in Naples, Florida is representing investors with holdings in GWG Bonds sold by Corinthian Partner, LLC.

GWG issued billions in high yield bonds sold through 145 independent broker-dealers. In January, GWG announced that it was pausing income payments to bond holders and freezing redemptions. In April, GWG Holdings filed for bankruptcy protection leaving its bondholders with little hope. Since 2015, GWG was funding cash flow needs by issuing new debt. Brokerage firms such as Corinthian Partners, and others, should have known that this investment was doomed to fail and stopped selling GWG bonds.

NASD Notice to Members 04-30 governs the sale of bonds and bond funds such as GWG's Bonds. FINRA members are obligated to conduct the following steps when selling such bonds to investors:

Understanding the terms, conditions, risks, and rewards of bonds and bond funds they sell (performing a reasonable-basis suitability analysis);

Making certain that a particular bond or bond fund is appropriate for a particular customer before recommending it to that customer (performing a customer-specific suitability analysis);

Providing a balanced disclosure of the risks, costs, and rewards associated with a particular bond or bond fund, especially when selling to retail investors;

Adequately training and supervising employees who sell bonds and bond funds;

Our clients have suffered significant damages as a result of sales deficiencies laid out in NTM 04-30. Had our clients been provided balanced disclosures by the firm, the investments into GWG's Bonds could have been avoided. If you or one of your loved ones was sold GWG Bonds by your financial advisor you may be entitled to a financial recovery. One of our securities attorneys will happily provide you with a free overview of any potential claims you may have.

securities arbitration and litigation claims For more information, visit our website at http://www.vernonlitigation.com/ or contact Vernon Litigation Group by phone at 1-877-649-5394 or by e-mail at [email protected] to speak with a representative of Vernon Litigation Group. SHARE

Vernon Litigation Group
Chris Vernon | 239-319-4434
Naples, FL

SOURCE Vernon Litigation Group