San Francisco, CA (PRWEB) March 19, 2012
The Law Offices Of Jeffrey A. Feldman currently represents a Montana investor who lost a substantial portion of her family’s total net worth after a broker with Fintegra, LLC (“Fintegra”) sold her risky tenancy-in-common, or “TIC” investments, by misrepresenting them as safe, according to allegations in a statement of claim filed with FINRA (FINRA Case No. 12-00313). The FINRA arbitration claim also names Sterling Savings Bank, where Fintegra had its branch offices. More information about the Law Offices of Jeffrey A. Feldman can be found at http://www.jeffreyfeldman.com.
According to allegations in the FINRA Arbitration claim, when the Claimant sought advice about investing the proceeds from the sale of the family ranch, she was referred to a broker at Fintegra. Fintegra’s broker, as alleged in the FINRA claim, told the Claimant that she should purchase tenant in common interests through a 1031 exchange, which would provide safety of principal, income and growth, as well as tax advantages. The broker’s representations about the Eliason Spring Pointe TIC investment were uniformly positive, and he assured the Claimant that this TIC offering was a safe, high quality investment, which would produce regular income while increasing in value, per the claim filed with FINRA. None of these representations were accurate, according to allegations in the FINRA Arbitration claim, and the broker failed to discuss the many risks and negatives associated with the investment.
Based upon the advice of her broker, as alleged in the FINRA Claim, the Claimant invested 1.5 million dollars in the Eliason Spring Pointe TIC, LLC, which consists of a group of apartment buildings near Dallas Texas. The TIC is now under threat of foreclosure, and as alleged in the FINRA statement of claim, the Claimant risks losing all of the money she invested. According to Mr. Feldman, “A TIC is a form of real estate ownership by which multiple investors share an undivided, fractional interest in real property . . . when significant tenants are lost or occupancy rates fall, foreclosure is almost a certainty, making this type of investment product highly risky, and unsuitable for any individual investor who cannot afford to risk losing all of their principal.”