The claim, filed by The White Law Group, was submitted to FINRA Dispute Resolution on behalf of two retired North Carolina investors alleging claims for violation of common law fraud, breach of fiduciary duty, negligence, and negligent supervision. The claim further alleges that Sigma Financial unsuitably invested the clients in the following tenant in common (TIC) investments (among others):
Covington, Passco Revenueaux Apartments, Eagle Creek, Meridian Carmel Center, Chemed Center, Griffin Capital Westwood Lisle, Mission Melbrook, Mission Glen Eagles, Spring Mill, Waters Edge, and Lakeland Commons.
Before recommending an investment, a broker-dealer has a fiduciary duty to adequately disclose the risks involved in the investment and to perform the necessary due diligence to determine whether the investment is suitable for the investor. It is alleged that Sigma Financial failed to perform the necessary due diligence on these investments prior to recommending them to these particular investors.
FINRA Dispute Resolution is an arbitration venue for investors with claims against their brokerage firm or financial professional. It provides investors with an opportunity to attempt to recoup their investment losses and is an alternative to filing such claims in court.
For more information on the claim filed by The White Law Group, please contact the firm's Chicago office at 312-238-9650.
The White Law Group is a national securities fraud, securities arbitration, and investor protection law firm with offices in Chicago, Illinois and Boca Raton, Florida. For more information on The White Law Group and its representation of investors in FINRA arbitration claims, visit http://www.whitesecuritieslaw.com.