Horizon Private Equity investors sue Oppenheimer over Ponzi scheme losses
CLEVELAND, August 31, 2021 / PRNewswire / – Today, investors in Horizon Private Equity, a purported Ponzi scheme, filed Georgia and in Kentucky v Oppenheimer & Co., Inc. The investors filed their claims in arbitration with the Financial Industry Regulatory Authority (FINRA). In both cases, investors allege that Oppenheimer, a new Yorkfinancial services company, played an early and important role in the formation and continued operation of the so-called Horizon Private Equity program and demands that it compensate them for the financial losses they have suffered. A lawyer for Horizon investors, Jean Chapman, comments: “Hundreds of Horizon investors – including many seniors and retirees – have lost $ 110 million. And many of them depended on Horizon distributions to make ends meet every month. In some cases, their retirement savings are now depleted. They have nothing left to live on. ”
The investor lawsuit alleges that Woods used Southport Capital, an investment advisory firm, to move Oppenheimer’s accounts receivable and lure investors into Horizon’s alleged Ponzi scheme, promising “guaranteed” returns between 6 and 7% with little or no risk. In reality, none of the investors’ funds were invested as promised, but instead were diverted or diverted to pay subsequent investors, in typical Ponzi scheme fashion.
According to investor complaints, during the time Woods was an investment professional at Oppenheimer, between 2003 and 2016, his Horizon Private Equity program was incubated in a Southport Capital office located in a rented space just down the hall. of Oppenheimer. Atlanta, Georgia branch. The investor complaint alleges that investor money was transferred from Oppenheimer’s accounts receivable to the alleged Woods Horizon schemes. “Companies like Oppenheimer are charged with the responsibility of protecting investors by keeping a close eye on employee misconduct and violations of safety laws,” said lawyer Chapman. If he had investigated any of them, he surely would have discovered the alleged Ponzi scheme. “
“Horizon Private Equity seems to have been a huge project and it has spread like cancer for over fifteen years,” says Chapman. “It’s easy to point the finger at Woods, but there were a lot of brokers and advisers, financial services firms and others who were all too willing to help him. We’re going to make sure those in charge of this alleged fraud – and not the unsuspecting investors – bear the consequences of their misconduct. ” The Georgia and Kentucky The actions are the first in a long series that attorneys for ChapmanAlbin, LLC and the Law Office of Craig H. Kuglar are preparing to file on behalf of investors. Mr. Chapman can be reached by phone at 1-877-410-8172 or by email at [email protected].
SOURCE Chapman, Albin