Investment Fraud Lawyers Help Recover Investment Losses (January Update)
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Investment Fraud Team Lead
Founding Attorney
Investors place their trust in financial professionals to manage their hard-earned money responsibly. When that trust is violated through fraud, negligence, or misconduct, the financial and emotional toll can be devastating. Experienced investment fraud attorneys serve a vital role in helping victims of such misconduct recover their losses and hold bad actors accountable.
At Oberheiden Law Group, our team is expanding its efforts to support plaintiffs in recovering losses from stockbroker or financial advisor, investment advisors, broker-dealers, and other financial professionals. We bring our extensive experience in complex litigation, financial regulation, and federal securities law to fight for our clients.
This comprehensive guide explains everything you need to know about investment fraud, how attorneys can help, and the legal process of recovering your losses.
Recover Investment Losses: Update for December 12, 2025
If you have concerns about investment fraud, how can you find out if your broker or brokerage firm has faced fraud allegations in the past? The easiest way to do this yourself is by conducting a search through FINRA BrokerCheck. If your broker or brokerage firm has faced any complaints previously, these complaints should show up in the broker’s or firm’s BrokerCheck record.
With that said, if your broker or brokerage firm hasn’t faced any complaints, this does not mean that you should ignore your concerns. Investment fraud is a very real issue, and the unfortunate reality is that many investors never recover their fraudulent losses. If you are concerned that you may be a victim, we strongly encourage you to contact us for more information.
Previous Updates: Recover Investment Losses
November 28, 2025 – This resource from the U.S. Securities and Exchange Commission (SEC) provides information about several common types of investment fraud schemes. If you have concerns about any of the following types of investment fraud, you can review the SEC’s resource for more information:
- Advance Fee Fraud
- Binary Options Fraud
- High Yield Investment Programs
- Impersonation Schemes
- Internet and Social Media Fraud
- Investment Scams Targeting Groups
- Microcap Fraud
- Ponzi Scheme
- Pre-IPO Investment Scams
- Pyramid Schemes
- “Prime Bank” Investments
- Pump and Dump Schemes
You can also speak with one of our lawyers about your legal rights. When investors suffer fraudulent losses, they can (and should) seek to recover their losses through FINRA arbitration or in court. We represent defrauded investors in FINRA arbitration and securities fraud litigation at no out-of-pocket cost. Contact us to learn more.
November 14, 2025 – Ardent Health, Inc.; Stride, Inc.; Telix Pharmaceuticals Limited, James Hardie Industries, and Inspire Medical Systems, Inc. are reportedly among the latest companies to face investment fraud investigations and lawsuits. If you lost money investing in any of these companies, our lawyers can assess your legal rights and take legal action on your behalf if warranted.
We are continuing to handle a wide range of other investment fraud claims as well. If you have lost money in any investment and have reason to believe that you may be a fraud victim, we encourage you to contact us for a free and confidential consultation. We handle investment fraud claims against securities issuers, brokerage firms and other parties.
October 31, 2025 – According to reports, companies including Varonis Systems, Inc. (VRNS), Stride Inc. (LRN), Baxter International, Inc. (BAX), and Fortinet, Inc. (FTNT) are currently facing investigations that could lead to investment fraud lawsuits. If you have lost money investing in one of these companies, we encourage you to contact us for more information.
October 24, 2025 – One of the SEC’s most recent Investor Alerts warns of scams involving social media posts and text messages that impersonate SEC personnel. As the SEC explains, these scams commonly involve, “stock tips, advance fee fraud, and pretending to help you get your money back.”
As an investor, it is critical to ensure that you are making informed decisions about who you trust. If you have any questions or concerns about unsolicited investment advice or an unsolicited offer to help you recover your investment losses, you should seek help before you respond. The SEC does not directly offer to help individual investors, and scrupulous brokers and investment fraud lawyers will not send you unsolicited solicitations.
October 17, 2025 – According to reports, Rezolve AI PLC, WPP PLC, PubMatic Inc., Freeport-McMoRan Inc., and Quanex Building Products Corp. are among the latest companies to face investment fraud investigations. If you have invested in any of these companies and have questions about your legal rights, we encourage you to contact us for a free consultation.
October 10, 2025 – The U.S. Securities and Exchange Commission (SEC) has recently announced litigation targeting Agridime, LLC; Prophecy Asset Management, LP; JL Real Estate Development Corporation; Franklin Asset Management and Consulting, LLC; and numerous other entities and individuals. You can find the SEC’s latest Litigation Releases here. If you have questions about seeking to recover investment losses you suffered with any of these entities or individuals, we encourage you to arrange a free, no-obligation consultation with a senior investment fraud attorney at Oberheiden Law Group.
October 3, 2025 – The SEC has issued a Trading Suspension for QMMM Holdings Limited (QMMM). According to an SEC press release, the Trading Suspension is due to, “potential manipulation in the securities of QMMM effectuated through recommendations, made to investors by unknown persons via social media to purchase the securities of QMMM, which appear to be designed to artificially inflate the price and volume of the securities of QMMM.”
These types of social media-fueled pump-and-dump schemes have become increasingly prevalent in recent years. If you have lost money in a pump-and-dump scheme, you may have grounds to recover your losses, and we encourage you to contact us for more information.
September 26, 2025 – As we mentioned in last week’s update, even if you are eligible to join an investment fraud class action, this doesn’t necessarily mean that joining a class action is your best option. You may be better off filing an investment fraud lawsuit of your own.
Why? Because plaintiffs in class action lawsuits typically only recover a portion of the compensation they are owed (when these lawsuits are successful). Class action lawsuits are popular because they allow plaintiffs to pursue claims when it would not be financially viable to pursue their claims independently. But, if you are facing significant investment losses, filing your own lawsuit could easily be a financially viable option, and it could be the only viable option fully recovering your fraudulent investment losses. Contact us to learn more.
September 19, 2025 – Snap Inc., the company behind the popular social media app SnapChat, is facing allegations that it misled investors as its revenue growth rate declined from 9% at the start of the year to just 1% in April. According to a new class action lawsuit, the company’s misleading statements were responsible for the 17.15% drop in the company’s stock price that occurred on August 6, 2025.
If you lost a substantial amount of money investing in Snap Inc., joining a class action lawsuit isn’t necessarily your best option. To learn more from an experienced investment fraud attorney at Oberheiden Law Group, contact us for a free consultation today.
September 12, 2025 – Some of the most recent investment fraud class actions involve claims against Alto Neuroscience, Inc., Altimmune, Inc., Biohaven, Ltd., and KinderCare Learning Companies, Inc. If you have suffered significant investment losses after investing in any of these companies, we encourage you to contact us for a free consultation about your legal rights. While it might be in your best interests to join an existing class action lawsuit, you also might be able to recover more of your losses by filing a lawsuit of your own. Our lawyers can help you make an informed decision, and we can take all necessary and appropriate legal action on your behalf.
September 2, 2025 – On Wednesday, the U.S. Securities and Exchange Commission (SEC) charged Daryl F. Heller; Prestige Investment Group, LLC; and Paramount Management Group, LLC with operating a $770 million Ponzi scheme. According to the SEC, the Ponzi scheme resulted in approximately $400 million in investor losses. The SEC’s press release states: “[F]rom January 2017 through June 2024, Heller and Prestige raised more than $770 million from approximately 2,700 investors . . . . Heller used his control of Prestige and Paramount to create the false impression that they were running a successful, nationwide ATM network and paying investors fixed monthly distributions from income earned from ATM transaction fees and related charges. In reality, as alleged, the defendants misrepresented the size and profitability of the ATM network and paid distributions to investors primarily using money from new investments and high-interest, short-term loans.”
If you need more information, contact us for a free and confidential consultation today.
August 29, 2025 – Two of the most recent investment fraud investigations have targeted LifeMD, Inc. (LFMD) and Charter Communications, Inc. (CHTR). LifeMD, Inc. is accused of improperly making an after-hours disclosure that caused its share price to fall by 44.8% overnight, while Charter Communications, Inc. is reportedly facing a class action lawsuit alleging that the company made various false statements that harmed investors in the companies stock as well as those that purchased call options or sold put options.
If you believe that a company’s misleading statements or disclosures are to blame for your investment losses, it will be worth talking to a lawyer about your legal rights. For a free, no-obligation consultation, contact us today.
August 22, 2025 – Broadly, the vast majority of investment fraud claims fall into one of two categories: (i) claims against securities issuers; and, (ii) claims against securities brokers, investment advisors, and other intermediaries (i.e. 401(k) and ERISA plan managers). Investors can pursue both types of claims under various circumstances.
If you are dealing with fraudulent investment losses, figuring out who (or what company) is responsible will be a key first step in the process of pursuing a financial recovery. Our lawyers can help; and, if you believe you may be a victim of investment fraud, we encourage you to contact us promptly so that we can investigate your case.
August 15, 2025 – As we said last week, investment fraud can take many different forms. Over the past week, we’ve seen cases involving allegations ranging from broker negligence related to the failure of a bond fund promoted to aging investors to the perpetration of a $200 million investment fraud scheme involving water vending machines.
But, the vast majority of investment fraud claims are far more routine. They involve allegations ranging from providing unsuitable investment advice to improperly trading on inside information. If you have reason to suspect that you may be a victim of investment fraud for any reason, we invite you to speak with one of our experienced lawyers in confidence.
August 8, 2025 – As we discussed in last week’s update, investment fraud can take many different forms. While some forms of investment fraud are highly sophisticated, others are more run-of-the-mill. For example, some of the most common forms of investment fraud simply involve brokers misrepresenting or omitting material information when providing investment recommendations to their clients.
Regardless of the circumstances involved, however, the consequences are the same: Investors suffer fraudulent losses with no hope of recovering these losses through ordinary market forces. If you find yourself in this situation, we strongly encourage you to contact us for more information.
August 1, 2025 – Investment fraud schemes can take many different forms. For example, IRS Criminal Investigation (IRS CI) recently published a press release discussing a criminal case involving an investment fraud scheme perpetrated during the COVID-19 pandemic. According to the release, the defendant “enticed individuals and business entities to invest large sums of money” in a “purported” medical supply company—and ultimately collected millions of dollars from unsuspecting investors.
If you have any concerns about any type of investment fraud, you should talk to a lawyer promptly. In some cases, taking action promptly can be critical for maximizing investors’ chances of recovery. Do you need to talk to a lawyer about your legal options? If so, contact us for a free consultation today.
July 25, 2025 – For many investors, seeking to recover their fraudulent investment losses does not involve going to court. Instead, it involves pursuing arbitration before the Financial Industry Regulatory Authority (FINRA). FINRA shares responsibility with the U.S. Securities and Exchange Commission (SEC) for regulating securities brokers and investment advisors, and brokers and advisors that are subject to FINRA’s oversight are required to arbitrate their clients’ fraud claims.
While FINRA arbitration provides the same opportunities for investors to recover fraudulent losses, the arbitration process is much more streamlined than litigation. If you believe that your broker or advisor is responsible for your investment losses, our lawyers can explain everything you need to know.
July 18, 2025 – A prominent political donor in Georgia has been accused of—and apologized for—perpetrating a $140 million investment fraud scheme. This case highlights the fact that it isn’t always easy to know who you can trust. As an investor, you need to do your best to ensure that you can trust those who are handling your investments—but, even if you do your due diligence, it is still important to monitor your portfolio for signs of fraud.
You can also monitor for investment fraud online. Along with the SEC sources discussed below, the California Department of Financial Protection & Innovation maintains an online Crypto Scam Tracker where it publishes reports of suspected cryptocurrency investment scams. Scams are a very real concern for cryptocurrency investors—both those who invest through brokers and advisors and those who invest on their own.
July 11, 2025 – The SEC’s Office of the Investor Advocate recently released its Report to Congress on its objectives for the 2026 fiscal year. The report highlights some of the key fraud concerns facing investors today, as well as the Office’s plans to address some of these concerns going forward.
Do you have concerns about investment or hedge fund fraud? Investment fraud is a pervasive issue, and investors can face fraudulent losses due to misconduct by issuers, brokers, advisors, scam artists, and other entities and individuals. If you would like to speak with a lawyer about your concerns, we invite you to schedule a free and confidential consultation at Oberheiden Law Group
July 4, 2025 – The SEC recently published an Investor Bulletin discussing the various types of financial professional designations. As an investor, it is important to know your broker’s or advisor’s formal designation. This plays a key role in determining your rights and your broker’s or advisor’s responsibilities—and this in turn plays a key role in determining when you can file a claim for investment fraud. Do you have a claim for investment fraud? If you have experienced unexpected, and seemingly unexplainable, investment losses, the answer could be “Yes.” Contact us to find out for free.
June 27, 2025 – The SEC has published a list of resources for victims of securities law violations. It is important to note, however, that while defrauded investors may be able to use these resources to obtain some compensation for their losses, seeking full compensation involves hiring a lawyer to take appropriate legal action on your behalf. While we encourage you to read the SEC’s resources if you have questions or concerns, ultimately, you should contact a lawyer as soon as possible if you believe that you may be a victim of investment fraud.
June 20, 2025 – Along with the SEC, the U.S. Department of Justice (DOJ) also plays an important role in uncovering and prosecuting investment fraud at the federal level. One of the DOJ’s most-recent cases involves an alleged $225 million cryptocurrency investment fraud and money laundering scam. Along with investment fraud scams involving traditional securities, investment fraud scams involving cryptocurrency are extremely common as well. If you believe that you are (or might be) a victim of any form of investment fraud, we encourage you to schedule a free consultation at Oberheiden Law Group
June 13, 2025 – The U.S. Securities and Exchange Commission (SEC) regularly issues Litigation Releases discussing enforcement actions against brokers, brokerage firms, and other individuals and entities in the securities industry. While these are by no means indicative of all potential investment fraud claims, if you have concerns about the advice you have received from your broker or advisor (or if you have other concerns about investment fraud), searching the SEC’s Litigation Release database could be a good place to start if want to find out whether there is any ongoing litigation.
Of course, regardless of whether the SEC has initiated an enforcement action, you can (and should) talk to a lawyer about your legal rights. If you believe that you may be a victim of investment fraud, contact us for a free consultation today.
June 6, 2025 – Do you have a claim for investment fraud? If you have suffered investment losses and have reason to believe that your broker or investment advisor is to blame, the answer could be “Yes.” Unfortunately, churning and other self-interested practices are far more common than they should be. To discuss your legal options with an experienced investment fraud lawyer in confidence, contact Oberheiden Law Group today.
May 30, 2025 – This is the first of what will be many weekly updates on investment fraud lawsuits. Since these are typically individual lawsuits filed by defrauded investors (usually in federal court), we won’t be providing mass tort or class action updates on a weekly basis. Instead, we’ll be providing insights into the process of pursuing a claim for investment fraud, updates from the SEC and FINRA, warnings about new investment fraud schemes and trends, and general information for investors who may have questions about their legal rights. We may occasionally provide updates on certain large-scale class action investment fraud cases as well.
In the meantime, if you believe that you are (or may be) a victim of investment fraud, we invite you to get in touch. Our lawyers can explain everything you need to know; and, if you have an investment fraud claim, we can take legal action on your behalf at no out-of-pocket cost to you.
What Is Investment Fraud?
Investment fraud occurs when a financial professional uses deceptive practices to mislead investors and cause financial harm. Common types of fraudulent investment schemes in the securities industry include:
- Ponzi schemes
- Pyramid schemes
- Churning (excessive trading to generate commissions)
- Unsuitable investments
- Unauthorized trading
- Misrepresentation or omission of material facts
- Failure to disclose conflicts of interest
- Breach of fiduciary duty
- Forgery and account manipulation
Fraud can occur in any investment setting, including stocks, bonds, mutual funds, private placements, real estate investment trusts (REITs), and alternative investments.
Put our highly experienced team on your side
Dr. Nick Oberheiden
Founder
Attorney-at-Law
Lynette S. Byrd
Former DOJ Trial Attorney
Partner
Brian J. Kuester
Former U.S. Attorney
Hon. Kevin McCarthy
55th Speaker, U.S. House of Representatives (ret.)
Government Consultant
Mike Pompeo
Of Counsel
Former U.S. Secretary of State
John W. Sellers
Former Senior DOJ Trial Attorney
Linda Julin McNamara
Federal Appeals Attorney
Nicholas B. Johnson
Former Prosecutor
Roger Bach
Former Special Agent (DOJ)
Chris J. Quick
Former Special Agent (FBI & IRS-CI)
Michael S. Koslow
Former Supervisory Special Agent (DOD-OIG)
Ray Yuen
Former Supervisory Special Agent (FBI)
Common Red Flags of Investment Fraud
Detecting investment scams early can help mitigate losses. Some warning signs include:
- Promises of high returns with little or no risk
- Pressure to invest quickly
- Unlicensed or unregistered advisors
- Vague or complex investment strategies
- Inconsistent or missing documentation
- Difficulty withdrawing funds
- Overconcentration in a single investment or asset class
If you notice any of these red flags, it may be time to consult with an investment fraud attorney experienced in investment fraud cases.
Who Can Be Held Liable?
Several parties may be responsible for investment losses, including:
- Financial or Investment Advisers: For misrepresenting investments, making unauthorized trades, or acting against your best interest.
- Brokerage Firms: For failing to supervise their brokers or for systemic fraud.
- Investment Firms: For designing and promoting fraudulent or unsuitable investment products for their own financial interests.
- Third Parties: Such as accountants, lawyers, or consultants who knowingly facilitate investment and securities fraud.
An experienced investment fraud lawyer will conduct a thorough investigation to identify all liable parties.
Legal Grounds for Investment Loss Recovery
Investment fraud claims can be based on a range of legal theories, including:
- Breach of Fiduciary Duty
- Fraud and Misrepresentation
- Negligence
- Breach of Contract
- Violation of Federal and State Securities Laws
- Violations of FINRA Rules
Each case is unique, and a skilled lawyer will tailor the legal strategy to the facts of your case.
Legal Forums for Recovery
Investment fraud recovery can occur through several legal avenues:
- FINRA Arbitration: Most investor disputes are resolved through the Financial Industry Regulatory Authority (FINRA), a self-regulatory organization for brokerage firms. Arbitration is faster and less expensive than court litigation.
- Securities Litigation: In more complex or class action securities fraud cases, victims who suffered losses may pursue claims in state and federal courts with the help of an experienced securities fraud lawyer.
- SEC Whistleblower Program: Individuals with evidence of large-scale fraud may be eligible to report violations to the U.S. Securities and Exchange Commission and receive monetary awards.
- State Securities Regulators: Each state has its own securities regulatory body which may bring actions against bad actors.
- Mediation: In some cases, parties may agree to resolve the dispute through private mediation.
The Role of an Investment Fraud Lawyer
Investment fraud attorneys are essential to guiding victims through the recovery process. Their services include:
- Case Evaluation: Reviewing investment documents, account statements, and correspondence to assess potential claims.
- Evidence Gathering: Working with forensic accountants and financial experts to identify fraud.
- Filing Claims: Preparing and submitting complaints to arbitration forums or courts.
- Negotiation: Engaging in settlement discussions to recover compensation without trial.
- Litigation and Arbitration Representation: Representing clients in hearings, depositions, and trials for a favorable outcome.
- Investor Advocacy: Ensuring clients are informed and empowered throughout the legal process.
Examples of Common Cases We Handle
Our firm has experience representing clients in cases involving:
- Retirees who lost their entire life savings or lost money in unsuitable annuities
- Business owners defrauded by private placement scams or unregistered securities
- Individuals caught in Ponzi schemes operated by licensed brokers
- Families misled about the risks of high-yield investment programs (HYIPs)
- Elderly investors targeted with aggressive sales tactics to invest
- Clients whose advisors falsified account statements
Damages You May Be Entitled To Recover
Victims of investment fraud may be able to recover:
- The original investment principal
- Financial losses, lost profits, or interest
- Attorneys’ fees and FINRA or securities arbitration costs
- Punitive damages (in cases of egregious misconduct)
- Emotional distress (in rare cases)
The amount and type of recovery depend on the facts and legal strategy of the case.
Why Choose Our Firm
Oberheiden Law Group is uniquely positioned to represent investors due to our:
- Deep Knowledge of Financial Law: Our attorneys include former prosecutors, SEC litigators, and regulatory specialists.
- Track Record of Success: We have helped clients recover millions of dollars.
- Strategic Thinking: We anticipate and counter the tactics used by powerful brokerage firms.
- Commitment to Justice: We pursue cases not just to recover losses, but to prevent future fraud.
Put our highly experienced team on your side
Dr. Nick Oberheiden
Founder
Attorney-at-Law
Lynette S. Byrd
Former DOJ Trial Attorney
Partner
Brian J. Kuester
Former U.S. Attorney
Hon. Kevin McCarthy
55th Speaker, U.S. House of Representatives (ret.)
Government Consultant
Mike Pompeo
Of Counsel
Former U.S. Secretary of State
John W. Sellers
Former Senior DOJ Trial Attorney
Linda Julin McNamara
Federal Appeals Attorney
Nicholas B. Johnson
Former Prosecutor
Roger Bach
Former Special Agent (DOJ)
Chris J. Quick
Former Special Agent (FBI & IRS-CI)
Michael S. Koslow
Former Supervisory Special Agent (DOD-OIG)
Ray Yuen
Former Supervisory Special Agent (FBI)
What to Do If You Suspect Investment Fraud
If you believe you have been the victim of investment fraud:
- Preserve All Documentation: Keep brokerage account and financial statements, emails, marketing materials, and notes.
- Do Not Contact the Advisor Directly: Let your lawyer handle communications.
- Consult a Lawyer Promptly: Time is of the essence. There are statutes of limitations that may bar recovery if you wait too long.
Free Consultation With an Investment Fraud Attorney
Across the country, many investment fraud cases have revealed how misconduct within financial institutions and by individual brokers can cause significant financial harm to investors. Victims often lose not only their savings but also their sense of financial security, especially when the fraud involves trusted advisors or firms. At Oberheiden P.C., our experienced securities lawyers represent clients in complex matters involving deceptive investment practices, securities violations, and negligent financial management.
If you’ve suffered financial losses and suspect broker misconduct, contact our law firm for a free consultation. We will evaluate your case, explain your rights, and outline legal options toward recovery.
Investment fraud can shatter lives, but legal action offers a path to accountability and restitution. Security fraud attorneys at our firm are ready to fight for you. With deep expertise and a tireless commitment to justice, we help investors claim what was taken and restore their confidence in the financial system.
Contact our investment fraud lawyers today to schedule your free consultation and begin your journey toward financial recovery.
Further Information About Our Investment Fraud Services
- Broker Fraud & Misconduct Lawyers
- Ponzi Scheme Fraud Lawyers
- FINRA Arbitration Attorney
- FINRA Arbitration Awards
- Securities Fraud – SEC Defense Lawyer
Geographic Locations of Our Investment Fraud Services
Disclaimer:
The content on this site is informational only and describes mere allegations. The content does not suggest evidence, proof, or guaranteed liability. The merits of each case depend on specific facts. Prior results do not guarantee similar outcomes in future cases. For more details, please see our FTC and general disclaimers. Oberheiden Law is the law firm in charge.
