San Francisco, CA (PRWEB) May 05, 2011
The Law Offices Of Jeffrey A. Feldman currently represents a northern California man who lost a substantial portion of his liquid net worth when employees of David White & Associates, located in San Ramon, California, sold him an unsuitable private placement investment called IMH, according to allegations in a statement of claim filed with FINRA (FINRA Case No. 11-00325).
Employees of David White & Associates touted IMH as a safe investment vehicle paying consistently high dividends, with little or no downside risk, according to allegations in the FINRA Arbitration claim. To the contrary, as set forth in the FINRA Arbitration claim, IMH was in fact a high risk private placement investment, only suitable for sale to accredited investors meeting specific asset and income criteria. According to Mr. Feldman “Everything that the Respondents had ever been presented with from the Claimant prior to the solicitation should have made clear to them that the Claimant did not meet the requirements of an accredited investor, and he could not be solicited to purchase IMH . . . it may well be that the Respondents thought what they were telling the Claimant was true in terms of IMH’s safety and suitability for the Claimant, however, it appears that Respondents misrepresented the investment, and solicited a non-accredited investor to purchase it.” More information about the Law Offices of Jeffrey A. Feldman can be found at http://www.jeffreyfeldman.com.
Per the FINRA Arbitration claim, prior to purchasing IMH, the Claimant had very little investing experience. The Claimant’s savings were primarily in bank CD’s, a large portion of which he withdrew to make the IMH purchase, according to the FINRA Arbitration claim. As alleged in the FINRA Arbitration claim, the net asset value of the Claimant’s investment has dropped precipitously, and there is no known market for the Claimant’s IMH investment at this time.