MDF Law Announces FINRA Complaint Regarding Tony Barouti Financial’s Recommendation on GWG L Bonds
California investor alleges L bonds were misrepresented as safe investments
—Marc Fitapelli, Esq.
NEW YORK, NEW YORK, USA, March 9, 2022 /EINPresswire.com/ — MDF Law, a national securities law firm, announces the filing of FINRA arbitration against Emerson Equity regarding the recommendation of Tony Barouti Financial regarding GWG L Bonds. The case is FINRA Case No. 22-00447 and was filed against Emerson Equity, LLC in Los Angeles, California. MDF Law’s client is an Iranian-American who bought L Bonds from Tony Barouti after hearing his advertisements on Persian radio. Mr. Barouti is the director of a company called Barouti Financial. It was approved and supervised by Emerson Equity.
GWG L bonds were securities sold by a Texas company called GWG Holdings, Inc. L bonds were presented to investors as conservative investments with guaranteed returns of up to 8.5% depending on the term of the bond. L bonds were very high risk investments. According to the GWG L Bonds prospectus, “Investing in our L Bonds may be considered speculative and involves a high degree of risk, including the risk of losing your entire investment”.
In addition to being high risk, the GWG L bonds were unrated and uninsured. They were “guaranteed” but only by a subsidiary of GWG. This subsidiary had a considerable debt.
In November 2021, GWG announced that it had received a subpoena from the Securities and Exchange Commission. The announcement came a year after the subpoena was actually received in October 2020. $200 million was raised by GWG between when the subpoena was received and when it was disclosed to investors. In January 2022, GWG defaulted on its responsibility to pay L bondholders. As of March 7, 2022, GWG currently owed investors over $25 million in interest and principal. It is unclear if or when GWG will be able to resume payments. GWG may file for bankruptcy.
You may be able to file a claim to recover your GWG L surety bond losses if any of the following apply to you:
• You thought the investment was guaranteed;
• You are a conservative or moderate investor;
• Your investment was greater than 10% of your net worth (excluding your home);
This is not a class action. MDF Law represents investors in individual FINRA arbitration cases on an emergency basis (no recovery/no fees). Investors must individually join the deal to participate. If you want to know if you qualify, you should contact attorneys Marc Fitapelli or Jeffrey Saxon at 800-767-8040. You can also visit www.gwgcase.com for more information.
PRIOR RESULTS DO NOT GUARANTEE A SIMILAR RESULT
Marc Fitapelli, Esq.
28 Liberty Street, 30th Floor
New York, New York 10005
Tel – 800-767-8040
Marc Fitapelli, Esq.
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