designed to appeal to older persons and retirees seeking yields higher than those of CD and/or treasuries in the current interest rate environment.
Coral Gables, FL (Vocus) October 7, 2010
The Securities Law Firm of Tramont Guerra & Nunez, PA (TGN) makes an announcement to all Eksportfinans ASA Reverse Exchangeable Note Investors who are prospective class members of class action lawsuit, Case No. 10 CV 05336, filed on July 13, 2010 in the U.S. District Court for the Southern District of New York. The class period for Eksportfinans ASA investors covered under the class action lawsuit is from November 17, 2006 through July 13, 2010. According to the court documents, the named Defendants include Eksportfinans ASA as the issuer of the securities and major Wall Street Underwriters of the Offering. The Underwriter Defendants named in the class action lawsuit include: Citigroup Global Markets, Inc., Merrill Lynch & Company, Morgan Stanley & Co. Inc., UBS Financial Services, Inc., Goldman Sachs & Co., Banc of America Securities, LLC and J.P. Morgan Securities Inc. The class action lawsuit alleges that the Offering Materials were materially false and misleading. The lawsuit claims the Defendants failed to disclose that the securities did not provide downside protection below “knock-in” price, securities exposed investors to unlimited downside risk and securities exposed investors to the creditworthiness of the issuer. The lawsuit further alleges that the securities were “designed to appeal to older persons and retirees seeking yields higher than those of CD and/or treasuries in the current interest rate environment.” Prospective class members should consider whether they should file an individual securities arbitration claim with the Financial Industry Regulatory Authority (FINRA) as a more effective method to recover a greater percentage of their investment losses. FINRA is a self regulating organization with sales practice rules and regulations that govern the securities industry’s conduct and safeguard the investing public
According to the lawsuit, many investors were advised by their financial advisors that an investment in Reverse Exchangeable Notes were suitable investments for conservative investors with current income investment objectives. Brokerage firms are obligated to give, and investors are entitled to rely upon, brokerage firms for competent, suitable investment advice in accordance with FINRA Sales Practice Rules and Regulations. The Financial Industry Regulatory Authority, (FINRA) is a self regulating organization with sales practice rules and regulations that govern the securities industry’s conduct and safeguard the investing public. FINRA rules state that recommendations of unsuitable investments and the failure to conduct adequate due diligence concerning recommended securities may result in causes of action that may be available to investors against their full-service brokerage firm in an individual securities arbitration claim.
The Securities Law Firm of Tramont Guerra & Nunez, PA, is a nationally recognized, Martindale Hubbell “AV” rated securities law firm. To request a confidential consultation from a TGN attorney to determine whether you have a viable individual securities arbitration claim for investment losses that exceed $250,000 from a full service brokerage account, contact us on our website. To speak directly with an attorney, call (800) 578-0137 and ask for Ben Fernandez, Esquire.