FINRA Lawsuit Filed Against VSR Financial

PLANO, Texas - May 13, 2014 - PRLog -- The claim, filed by The White Law Group, was submitted to FINRA Dispute Resolution on behalf of several Texas investors alleging claims for violation of common law fraud, breach of fiduciary duty, negligence, and negligent supervision. The claim further alleges that VSR Financial unsuitably invested the client in the following investments (among others):

Alliance Petroleum Corp 2006 A

Alliance Petroleum Corp 2006 B

ArciTerra Whitefish Opportunity Fund, LLC

Bradford Drilling Associates 21, LP

Ridgewood Energy Q Fund

Waveland Drilling Partners 2006-A, L.P.

Waveland Drilling Partners 2006-B, L.P.

Waveland Drilling Partners 2007-A, L.P.

DBSI 2006 Land Opportunity Fund, LLC

Ridgewood Energy R Fund

Ridgewood Energy S Fund

Ridgewood Energy T Fund

CNL-2003 10% Notes

Arciterra Note Fund I

DBSI Preferred

DBSI Sharing

Florida Capital Real Estate Partner 26

Odyssey Operating Partners II

Ridgewood J Fund

Ridgewood Q Fund

Ridgewood R Fund

Ridgewood S Fund

Ridgewood T Fund

Triton Pacific Income & Growth Fund I

Waveland Drilling 2005B

Waveland Drilling 2006A

Waveland N Paradigm III B

Waveland Drilling 2006B

Atlas Series 24-2003A

APC 2004-A

APC 2005-B

Black Diamond 2003A

Boston Capital Tx Crd 4

Cole Credit Prop Fd 2

Florida Cap-Tampa

Mewbourne

MPSF 7

PIMCO All Asset Fund C

Ridgewood Pwrbnk II

Ridgewood Pwrbnk III

Ridgewood Energy L Fund

Ridgewood Energy M Fund

Ridgewood Energy N Fund

Ridgewood Energy O Fund

Ridgewood Energy P Fund

Black Diamond Energy Partners 2003-A, Ltd

Cole Credit Property Trust II, Ltd

Dunhill Partners

MacKenzie Patterson Special Fund 7, LLC

Mewbourne Energy Partners 03-A, L.P.

Ridgewood Energy L Fund

Ridgewood Energy N Fund

Ridgewood Energy O Fund

Ridgewood Energy P Fund

Ridgewood Energy Q Fund

Ridgewood Energy R Fund

Ridgewood Energy S Fund

Ridgewood Energy T Fund

Waveland Drilling Partners 2006-B, L.P.

Waveland Drilling Partners 2007-A, L.P.

Waveland Vanguard Partners, LLC

The claim seeks damages in excess of $1,000,000.

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 VSR Financial failed to perform the necessary due diligence on these investments prior to recommending them to these particular investors.

The financial advisor that handled the account at issue is named John Towers.  According to his FINRA Broker Report (CRD) it appears that John Towers worked in VSR Financial's Plano, Texas office from June 2002 until December 2013.  It also appears that in December 2013, Mr. Towers was suspended from the securities industry by FINRA for allegedly recommending that a married couple invest in high-risk private placements and real estate investment trusts.  Mr. Towers' CRD also indicates that he has been the subject of sixteen (16) customer complaints.

When asked about the claim, D. Daxton White, the firm's managing partner, stated "This claim bears striking similarities to other claims we have filed against VSR involving this particular financial advisor."

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.