75-Plaintiff Class Action Involving Fraudulent Investment Scheme

Hodgson Russ represented 75 named plaintiffs in a class-action case involving an investment advisor’s fraudulent investment scheme. After an 18-month litigation, we obtained for our clients provisional relief and a judgment against the investment advisor for more than $20 million. The plaintiffs have thus far collected funds in excess of $4 million, which is atypical for victims in cases like this, who are often not able to recover any amount of their lost investment. A receiver has been appointed, and it is possible the class members will be entitled to additional recovery. Moreover, because this litigation morphed into a class action, victims of the scheme who under normal circumstances could not afford to retain counsel were able to benefit from this judgment.