NEW YORK--(BUSINESS WIRE)--Charges filed Wednesday by the U.S. Department of Justice against Michael Cohn (Cohn), a former GPB Capital Holdings (GPB) executive, are “just the first shoe to drop” and soon will be followed by even starker disclosures, according to attorneys at Peiffer Wolf Carr and Kane (Peiffer Wolf) and Meyer Wilson.
Representing dozens of GPB investors, Peiffer Wolf and Meyer Wilson most recently filed two complaints on behalf of senior citizens in Florida and Oregon who lost a total of more than $1.5 million to financial advisors and brokers pulling down huge commissions on unsuitable investments in GPB funds. On September 18, 2019, Peiffer Wolf and Meyer Wilson forecast an “avalanche” of retiree arbitration cases in the GPB scandal. For more details, go to https://gpblawyer.com/.
Yesterday, the Justice Department charged former GPB compliance officer Cohn with obstruction of justice.
Joseph Peiffer, managing partner, Peiffer Wolf, said: “The charges filed Wednesday against Michael Cohn are particularly egregious, but they are only part of the story; the other shoe is going to drop very soon. When that happens, investors will have a very clear picture of just how bad things were at GPB. This whole situation is a scandal from the misconduct at GPB Capital to the greedy problem brokers who stooped to new lows to peddle GPB to senior citizens who were fleeced with sky-high commissions.”
David Meyer, managing partner, Meyer Wilson, said: “We are going to see to it that all the facts come out here very soon. We are talking about nearly two billion dollars and thousands of victims. If you invested in any of the GPB funds, you should contact an experienced securities attorney today.”
GPB has attracted considerable attention in recent months, including the allegations of a business partner that the organization is run as a “Ponzi-like scheme” and, more recently, the opening of an FBI investigation into the company. Over the course of the past year, multiple lawsuits have been filed and multiple regulatory proceedings have been initiated, alleging that GPB has engaged in wrongdoing.
GPB recently told clients that it would deliver audited financial statements for its funds by the middle of September but did not do so and now won’t complete the audits until the end of this year. Since, already diminished valuations of GPB funds have plummeted by another 39%. Now, it appears that investors are at risk of losing some or all of their GPB investments.
Peiffer Wolf Carr & Kane, APLC is a national law firm with offices in New York, New Orleans, Cleveland, San Francisco, Los Angeles, Austin, and Missouri. https://gpblawyer.com/
Meyer Wilson, Co., is a national law firm with offices in Ohio, California, and Michigan. www.investorclaims.com
EDITOR’S NOTE: A streaming audio recording of the September 18th news event is available online at https://gpblawyer.com/.