Millions of Americans depend on their investments for their retirement and even for their daily life. You can do all the research in the world and be informed about your portfolio and your net worth and you can still be caught unaware by massive instances of investment fraud, stock fraud of illegal and deceptive sales tactics. Thankfully, the justice department, the SEC and the American justice system are available to help you seek redress or damages if you have lost a great deal of money due to a massive case of accounting fraud or if you have been guided into an unwise investment.
In the early part of the decade there was one major accounting scandal after another which left many investors deeply shaken and unsure of how to invest and prepare for the future. After all, looking at the millions of people whose long term financial security was shattered by the widespread accounting fraud of companies like Enron, Tyco and WorldCom, what was a safe investment? Between widespread accounting fraud and the misleading advice of seemingly trusted companies, the American investor is hard pressed to feel secure in any long term investment option.
For instance, H&R Block has always projected a safe and secure feeling and has helped millions of middle and low income Americans to file their taxes each year. Who would have thought that their recommendations to purchase their Express IRA would be fraudulent? But, they were. With low rates of return and high fees, their Express IRA could not have been a worse investment option for people who already have a tough time saving money. Elliot Spitzer's Class Action filing is making sure that H&R Block is held accountable for their fraudulent IRA investment advice.
Likewise, when Prudential sales reps went from customer to customer to convince them to increase their insurance premiums "at not cost to them" why wouldn’t they trust the company they had been investing in for years and purchase another policy? Another instance of fraud and another class action lawsuit followed the erroneous sales to millions of people and more savings were lost by many vulnerable citizens.
Finally, the widespread stock fraud that occurs all the time, including stock churning and other schemes designed to line the pockets of stockbrokers and brokerages with no long term thought given to the hardships their greed causes to their clients.
Thankfully, there is recourse and there are people advocating for consumer protection. The Attorney General of New York won’t rest, it seems, until H&R Block has refunded all of the money from their Express IRA program and the federal government has sought redress from Enron, WorldCom and HealthSouth for the millions of investors who experienced significant loss at the hands of fraudulent earnings reports and disingenuous executives.
If you feel as though you have been the victim of investment fraud, stock fraud or illegal investment practices, you should find a qualified attorney to represent you as soon as possible. By choosing a smart and qualified advocate you are arming yourself against the fraud and victimization experienced by millions of Americans. Remember that class action lawsuits were initially developed to help small investors recoup losses from major corporations. You are not alone!