Read that over a few times. Are those two words beginning to sound similar?
That’s what the founders of My Big Coin, Inc. were hoping when they created their cryptocurrency investment offering. The Nevada-based company has been accused of defrauding investors hoping to cash-in on the recent investment trend.
In business, there are bound to be disagreements. Whether it is a contract dispute or failed negotiation, business disputes are going to occur. It’s usually not personal, but business disputes can be a major roadblock and source of stress, especially when handled improperly. Settling disputes fairly and effectively is imperative. If handled poorly, dispute resolution can become a lengthy and costly ordeal involving weeks, months and sometimes even years of litigation and trial.
While business disputes are unavoidable, litigation is. Here are some means of alternative dispute resolution that can help settle business disputes and avoid the headache and cost of trial.
Many passive investors are happy just leaving their investments at the hands of their brokerage firms. Many investors opt review brokerage activity via a monthly overview statement rather than from a hands-on approach. Broker-dealers handling investment accounts are free to make most decisions on quantity and frequency of investment securities.
Although ostensibly broker-dealers must have the investor’s interests at heart, some may take advantage of the lack of oversight from the investor.
The Securities and Exchange Commission (SEC) warns that, in some cases, investors have encountered excessive fees due to sharp increases in brokerage activity on investment accounts.
The Financial Industry Regulation Authority (FINRA) announced fines against 12 securities firms for their failure to accurately protect consumer records.
FINRA carried out fines, totaling $14.4 million, against 12 securities brokerage firms, including some of the largest-backed firms in the country.
FINRA found that these firms storing broker-dealer and consumer records without precautions in place to prevent alteration.
Ever wonder about how customer disputes are resolved between investors and broker-dealers?
Is a lawsuit necessary?
Do you need to hire a lawyer?
Last week, the Financial Industry Regulatory Authority (FINRA) handed out a $650,000 fine to a broker-dealer in the Lincoln Financial Network. The industry watchdog group found that the independent broker-dealer in Lincoln Financial’s network allowed thousands of customers’ data to be exposed to foreign hackers.
Similarly FINRA also found that Lincoln Financial Securities Corp. failed to ensure the security of their customers’ consolidated reports.
Anytime you decide to invest, you always do background research on the asset or security, right? It is important to know the why and how of an asset or security’s performance before deciding to invest.
Whatever security in which you invest, it is important to know who your investment broker is. Knowing your investment is in the right hands goes a long way in ensuring the security of your investment.
This week, the Securities and Exchange Commission (SEC) indicated that it would be calling on a need for more oversight from its financial regulation partner, the Financial Industry Regulatory Authority (FINRA).
The decision to shift responsibility comes with an SEC initiative to devote more energies towards the rise of independent financial advisers.
Securities Fraud Lawyers Blog