Investment News recently reported that multiple claims have been filed against the brokerage firms which sold interest in Medical Capital and its related business. The allegations include claims of negligence and breach of fiduciary duty,
The Medical Capital investment was a private placement. Private placements are generally considered to be risky and cannot easily be sold . However, many investors are alleging that the firms sold these interests as safe conservative investments appropriate for people seeking an interest stream in retirement or other conservative investments. Multiple issues have now been raised regarding what, if any, due diligence was done into Medical Capital and the principals of the company amongst other issues.
The law firm of Blum Law Group represents multiple investors in claims against the selling broker-dealers. If you have any information about our claims or want a free consultation to discuss your legal rights, please contact our law offices.