Gana Weinstein Files $1 Million Claim against Geneos Wealth Management for Recommending GPB Capital

2/25, 7:28 PM (Source: GlobeNewswire)

NEW YORK, Feb. 25, 2021 (GLOBE NEWSWIRE) -- The nationally recognized securities law firm of Gana Weinstein LLP has filed another seven figure GPB Capital case. The law firm says that they have represented nearly 100 aggrieved GPB Capital investors to date.

GPB Capital Holdings, LLC is an enterprise the SEC recently called a Ponzi-like scheme that raised over $1.7 billion. Bloomberg News recently explained that if proved, GPB would be one of the largest schemes targeting individual investors since the massive frauds of Bernard Madoff and Robert Allen Stanford.

This month, the Department of Justice indicted David Gentile, the founder of GPB, Jeffry Schneider, the owner and CEO of Ascendant Capital LLC, and Jeffrey Lash, a former managing partner of GPB relating to the fraud. If convicted, the defendants each face up to 20 years’ imprisonment.

The criminal complaint is particularly troubling in that it alleges that GPB’s former CEO, David Gentile misused investor money to buy himself luxury items, including a $355,000 Ferrari.

For over two years Gana Weinstein has represented GPB investors and raised concerns over the brokerage industry’s failure to investigate these products properly. The claims filed by Gana Weinstein allege that many broker-dealers failed to conduct due diligence before recommending GPB Capital to their clients. If brokers would have conducted the requisite level of diligence, many would have identified GPB’s implausible business claims, inexperienced management team, intra-fund lending, and false claims of being a low-risk investment that would only pay investors from distributions. The recently filed law suits claim that there warning signs, or red flags, were available at the time GPB Capital was recommended.

In their most recent filing against Geneos, Gana Weinstein’s client claims that Geneos inappropriately recommended a significant seven figure investment in three GPB funds – GPB Automotive Portfolio, LP, GPB Holdings II, LP, and GPB Waste Management, LP. The claim alleges that Geneos actually invited GPB personnel to provide investors with a presentation in order to help Geneos solicit investors into the scam.

“After two years of litigating these cases, it’s becoming increasingly clear that many in the brokerage industry simply accepted GPB’s claims at face value with little independent confirmation,” said Adam Gana, a partner with Gana Weinstein LLP. “We believe frauds like GPB show that due diligence in the private placement space is still a problem.”

If you were an investor in GPB Capital and want a free consultation with an attorney please contact Adam Gana at (646) 404-0000 or by e-mail at AGana@GanaLLP.com. You may also visit the firm’s website at www.ganalawfirm.com.

Gana Weinstein, LLP
345 Seventh Avenue, 21st Floor,
New York, NY 10001


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