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FINRA Award entered involving Reef Oil and Gas Partnerships
The White Law Group announces that Reef Securities has been hit with a total award of $188,000, plus interest of 4.75% from July 1, 2008 until the date of payment of the Award, in a FINRA arbitration case, Case no. 12-04306.
The award is significant due to the fact that Reef Securities had filed a counterclaim against the Claimants based on an indemnification provision in the private placement sponsor documents. At hearing, Reef Securities sought attorney fees in excess of $200,000 from the investors bringing the claim. Not only did the Panel award damages to the investors, but the Panel denied the Counterclaim with prejudice.
"We are pleased that this panel ruled in favor of our clients and awarded damages based on its findings that Reef Securities was negligent in its supervision of its agent. It is highly unusual for a brokerage firm to file a counterclaim for attorneys fees and we are particularly glad the Panel saw fit to deny that claim," says D. Daxton White, Esq, lead counsel for the Claimants in this case.
This is the latest in a continued effort by The White Law Group to recover money lost by retail investors in oil and gas partnerships, private placements, and non-traded REITs. Says Mr. White, “These types of investments are all extremely high-risk and are only appropriate for sophisticated investors. In my experience, broker-dealers often highlight the income potential of the investments in their sales pitches which makes them appealing to retired investors. Unfortunately, retired investors are the investors who can least afford the investments’
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. The firm represents investors in claims against their brokerage firm throughout the country.
For more information on the award, please contact the firm’s Chicago office at 312/238-9650.
For more information on The White Law Group and its FINRA arbitration practice, please visit http://www.whitesecuritieslaw.com.
The White Law Group