Soreide Law Group has filed a FINRA arbitration on behalf of the customers who lost money in ICap Equity, LLC and it’s affiliated Funds.
Soreide Law Group has filed a FINRA arbitration on behalf of the customers who lost money in ICap Equity, LLC and it’s affiliated Funds.
On September 12, 2023, iCap announced that its plans to reshape its failed business. Soreide Law Group has already filed one claim in the Financial Industry Regulatory Authority against Somerset Securities and anticipates dozens more to follow against several brokerage firm who sold ICap Equity, LLC. ICap and it’s affiliated funds including the popular Northwest Opportunity Fund are in Chapter 11 bankruptcy.
Details of the claim can be found on https://www.SecuritiesLawyer.com
The lawsuit filed by Soreide Law Group on behalf of ICap investors against the brokers who recommended the fund allege that the brokerage firm’s actions constitute a breach of fiduciary duty, negligence, and failure to supervise. ICap Equity and ICap Northwest Opportunity Fund paid over 10% commission to the brokers who sold it which may have motivated some brokers to make an unsuitable recommendation to their clients putting their own financial interest ahead of their customers.
According to a letter sent out to ICap investors on March 20, 2023, iCap Equity LLC stopped monthly interest payments to its shareholders citing the “monumental challenges” for the real estate capital markets due to rising interest rates and inflation.
iCap Equity stated that other notable real estate investment firms have recently announced that they are suspending payments to investors or that they have also defaulted on their loan obligations. Private placement investments, like iCap typically involve a high degree of risk. They are often sold as unregistered securities which may lack the same attention as more traditional investment products like stocks or bonds. They also tend to be illiquid and when ready to sell, it is often difficult to find a buyer. An investor may be able to sell the investments through a secondary market, but it may be at a financial loss.
ICap Equity LLC, and ICap Northwest Opportunity Fund may become a total loss for investors and investors should contact Soreide Law Group and speak to an experienced securities lawyer at no cost regarding the possible recovery of investment losses through a FINRA arbitration at: 888-760-6552 or visit https://www.SecuritiesLawyer.com
Soreide Law Group represents clients nationally before FINRA on a contingency fee basis, no fee if no recovery.
