If you have suffered losses in Nightingale Properties or its Atlanta or Miami projects, you may be able to pursue recovery of your losses through FINRA arbitration or securities litigation. Please call Kons Law Firm at (860) 920-5181 for a FREE, NO OBLIGATION consultation to discuss your investment loss recovery options.
Nightingale Properties Investors May Have Investment Loss Recovery Options
According to recent news reports, Nightingale Properties is under investigation by the federal Department of Justice and the SEC after it was revealed the company allegedly diverted to its CEO’s accounts tens of millions of dollars it had raised to acquire two buildings.
The transactions at issue — for the Atlanta Financial Center and Miami Beach Lincoln Place — allegedly never materialized. Instead, according to public records, nearly $40 million of the $63 million Nightingale raised for them ($54 million for the Atlanta project and $9M for the Miami project) from hundreds of investors flowed to accounts controlled by Nightingale's former CEO Elie Schwartz. Investors are believed to have purchased these investments through an online funding portal. Upon information and belief, Nightingale Properties allegedly omitted results from two previous unsuccessful deals from the track record shown to investors.
Investors in Nightingale Atlanta Financial Center and Nightingale Miami Beach Lincoln Place May Have Loss Recovery Options
Securities broker-dealers that recommend the purchase of a security must ensure that it is suitable for the customer. This “reasonable-basis” suitability requirement means that in the context of private placements like Nightingale Properties brokerage firms have a duty to conduct due diligence on:
-The issuer and its management;
-The business prospects of the issuer;
-The assets held by or to be acquired by the issuer;
-The claims being made; and
-The intended use of proceeds of the offering.
Broker-dealers can be held liable if they violate this reasonable-basis suitability requirement. In addition, third-party firms that materially assist in a securities offering may have liability under state and federal securities laws for any misrepresentations or omissions made in connection with the sale of such securities.
Nightingale Properties Investors May Be Able to Pursue Recovery of Their Losses
If you have suffered losses in Nightingale Properties Atlanta Financial Center or Miami Beach Lincoln Place projects, you may be able to pursue recovery of your losses through FINRA arbitration or securities litigation. Please call Kons Law Firm at (860) 920-5181 for a FREE, NO OBLIGATION consultation to discuss your Nightingale Properties loss recovery options.
Kons Law Firm represents investors throughout the US in securities arbitration and litigation matters. To learn more about the Firm’s securities litigation and FINRA arbitration practice, please visit www.investmentfraudattorneys.com.
