Machine Working to Develop Land

UDF III Fake Distributions and Investment Fraud Class Action

This class action concerns investment offerings known as United Development Funding (UDF), and specifically UDF III. The complaint alleges that the defendants made false statements about UDF III’s success to induce people to invest or to invest more. It backed up the false statements by distributions—which, according to the complaint, were not in fact earnings  Read more

Securities Fraud
Securities Frauds, Securities, Providing False or Misleading Information, Ponzi Scheme
Word "Fraud" in Red Circle with Strikethrough

Tower Financial Corp. and Jeffrey Epstein Ponzi Scheme Class Action

The complaint for this class action alleges that a Ponzi scheme built around Towers Financial Corporation (TFC) took millions of dollars from over 200,000 investors between the late 1980s and the mid-1990s. One of the parties to this scheme, Steven Hoffenberg, was convicted and sentenced to twenty years in prison, plus fined and required to  Read more

Securities Fraud
Securities Frauds, Ponzi Scheme, Fraud
Four Cryptocurrency Coins

Julian Spence DRIP Cryptocurrency Fraud Securities Class Action

How do people know which cryptocurrencies are worth their offering prices and which are simply scams? The complaint for this class action says that Julian (or Juvane) Spence, the seller of the Dark Ripple or DRIP token, implied that his tokens were related to a more established currency called Ripple. This and other false or  Read more

Securities Fraud
Securities Frauds, Providing False or Misleading Information, Cryptocurrency
Insys Logo and Test Tubes

Insys Therapeutics Hid Opioid Subsys Sales Decline Securities Class Action

Misstated figures can simply be errors, but the complaint for this class action says that Insys Therapeutics committed fraud by manipulating figures to hide the company’s falling revenues, in violation of Securities Exchange Act of 1934. Why did it feel it needed to do that? Because, the complaint claims, the company had previously engaged in  Read more

Securities Fraud
Stock Losses, Securities Frauds, Providing False or Misleading Information
Citizens Old Annual Report Cover

Citizens Schemes to Sell Insurance to Foreigners Securities Class Action

The complaint for this class action alleges that Citizens, Inc. sells insurance policies in foreign countries in order to evade US regulations. It claims that it uses improper growth projections to enroll customers in programs where dividends are used to buy the company’s stock, and sells policies that require payment of US taxes as if  Read more

Securities Fraud
Stock Losses, Securities Frauds, Securities, SEC Investigations, Providing False or Misleading Information
Homex Logo

Homex Charged by SEC in $3.3 Billion Accounting Fraud Securities Class Action

The Securities and Exchange Commission (SEC) used satellite imagery to find evidence of fraud in the financials of Desarrolladors Homex SAB de CV, or Homex Development Corporation. According to the complaint for this securities class action, Homex reported that it had built a certain number of homes, but satellite photos at many of the locations  Read more

Securities Fraud
Stock Losses, Securities Frauds, Securities, Providing False or Misleading Information
Adult Hands Holding Baby Feet

OvaScience Poor Results for Augment Infertility Treatment Securities Class Action

OvaScience develops fertility treatments using egg precursor cells to improve egg health and in vitro fertilization (IVF). Unfortunately, the complaint for this class action alleges that Ova’s statements about its Augment treatment didn’t just violate the Securities Exchange Act of 1934; it says they were also fraudulent. Ova claimed to be on track to sell  Read more

Securities Fraud
Stock Losses, Securities Frauds, Securities, Providing False or Misleading Information
BitConnect Logo

BitConnect Coin Unregistered Securities and Fraud Securities Class Action

It’s a wonder that buyers still exist for new cryptocurrrencies that show no signs of any serious underpinnings to support their claims. The complaint for this class action alleges that BitConnect coins are unregistered securities, a fraud, and a Ponzi scheme. Income from BitConnect coins is purportedly obtained through up to 40% interest per month,  Read more

Securities Fraud
Securities, Ponzi Scheme, Offering or Sale of Unregistered Securities, Fraud

Yelp Conceals Falling Retention Rates Securities Class Action

Yelp is famous for its online reviews, but it also offers free and paid advertising and other services. Local businesses are a primary source of its income. But the complaint says that the company gave a false picture of its prospects for 2017 by failing to reveal expected customer retention problems caused by changes in  Read more

Securities Fraud
Stock Losses, Securities, Providing False or Misleading Information

Monkey Capital Cryptocurrency Fraud and Unregistered Securities Class Action

At issue in this class action are nearly $4 million worth of investments the plaintiffs believed they were making into a new cryptocurrency from Monkey Capital prior to its initial coin offering (ICO). The investments were made primarily in bitcoins. The complaint contends that cryptocurrencies are actually unregistered securities and asks for relief from Monkey  Read more

Securities Fraud
Securities Frauds, Securities, Offering or Sale of Unregistered Securities, Cryptocurrency