Commodities fraud litigation: secured settlement for 93% of the several hundreds of thousands of dollars the client invested with a NYSE brokerage
||Commodities fraud litigation: secured settlement for 93% of the several hundreds of thousands of dollars the client invested with a NYSE brokerage
|| Corporate, Capital Formation & Securities Law
Tannenbaum Helpern's counsel Andrew Berger was retained by a Channel Islands fund that had invested more than $500,000 in an interest rate futures spread scheme marketed in London by a major NYSE company. The client advised that it and about 55 others had sued the NYSE brokerage for commodities fraud and had reached a tentative settlement providing for payment of about 45 percent of the losses on the investment. The client advised it was dissatisfied with the settlement and retained Andrew to continue the litigation. Andrew convinced the court to reopen discovery and then deposed in Europe the two principals who had conceived the investment scheme. Andrew learned from other sources that the brokerage house had been censured by the NYSE for the very investment at issue but had failed to produce documents regarding the censure in discovery. Armed with this information, Andrew advised the attorney for the 54 other investors who had settled and dismissed their claims against the brokerage of the censure. These investors then moved to reopen their settlement and continue their litigation. The brokerage weary of litigation with Andrew's client and concerned about having to now also defend a new action by the 54 settling investors, more than doubled its earlier offer to Andrew's client agreeing to pay the Channel Islands fund 93% of its losses.
Andrew's extensive litigation experience and his ability to dive deeply into the details of a case to unearth facts that materially assist a client were the reasons for this outcome.
|| Andrew Berger