Every year millions of individuals across the world fall victim to investment fraud, with many of the fraudsters particularly targeting novice investors. The types of fraud vary and some are easier to spot than others. The first-time investor may find it difficult to spot the "too good to be true" offers with the promises of returns on their investment that are unrealistic and certainly unachievable. Even a seasoned investor may be swindled especially when the broker has the veneer of respectability; rogue traders are far harder to spot that than a brokerage set up with the view of executing multiple frauds. They are relying on the fact that in some cases, for example, slippage - the fraud will go undetected because only the broker can truly know when the trade was made. Additionally, the investor will almost certainly be guided by the broker and unless the investor keeps a very sharp eye on the markets it is all too easy to deceive. Increasingly rogue traders are misrepresenting or withholding information about sales-related compensation and pocketing the funds.
It is perfectly understandable if the novice investor, in particular, may feel more than a little out of their depth and not feel confident to challenge their broker. Also, whilst the rules are clearly laid down, it may not be so easy for a novice to interpret them. Fraudsters are extremely talented at allaying the fears of their targets and diverting attention from their questionable practices.
The lawyers in the financial fraud division of Giambrone are very familiar with the pattern of behaviour demonstrated by the fraudulent brokers and the distress caused by their dealings with inexperienced investors. Giambrone has an enviable track record of recovery in relation to financial fraud. Our capable lawyers have developed a number of strategies and tactics to compel the fraudulent broker or associated financial service providers to restore funds to the individuals that the fraudsters have targeted despite the fact that the fraudsters are accomplished at hiding their tracks and frequently there are myriad inter-connected limited liability companies, some dormant and some active, registered in countries and off-shore havens throughout the world. However, there are various routes Giambrone's financial fraud team have successfully used when attempting to retrieve lost investment funds for clients and each avenue is thoroughly investigated. The complexity of the structures fraudsters set up make it almost impossible an individual to navigate alone the convoluted structures that have been deliberately set up to confuse, Giambrone's lawyers are very familiar with the fraudsters' strategies and frequently can steer a course to the recovery of some of the lost money.
The step of last resort, legal action, is understandably daunting for a person who often has lost significant amounts of money to the fraudulent brokers. Giambrone fully understands that the punishing experience of discovering that all their money has been stolen will leave the victim decidedly risk-averse. In certain cases, depending on various factors, where strategies can be implemented to retrieve the lost funds through the courts. Giambrone has had experience with class actions against the fraudulent brokers and has developed links with litigation funding organisations in order to offset the risk in respect of class actions. Not every case of financial fraud is suitable for such action but it can be an extremely effective approach.
If you suspect that you have been defrauded or that your broker placed their interests ahead of yours or failed to provide you with material information relating to the trades, or any other breach, it may not be the end of the line. There may be a way of regaining your lost funds.
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The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.