Ernesto Chavez (CRD: 4315877) faces a new pending claim on BrokerCheck over an investment made in 2018. The customer alleges $180,000 in damages, and no arbitrator has ruled on the claim.
Soreide Law Group is reviewing potential investor claims connected to the 352 Capital Fund and possible sales practice violations by securities brokers and financial advisors. The fund, linked with Jefferies Financial Group Inc., has been the subject of troubling reports involving undisclosed risks and conflicts of interest. Investors should be aware of this adverse information, which is summarized below.
The 352 Capital Fund operated as a hedge fund associated with Jefferies Financial Group Inc. Like other private investment funds, it aimed to provide access to alternative assets not typically available to retail investors. Its structure involved professional managers directing investor contributions into corporate bonds and other holdings, with the stated goal of generating stable returns. For many investors, the fund represented an opportunity to diversify their portfolios with professionally managed investments.
Recent legal actions and regulatory filings have revealed that the fund apparently invested heavily in WaterStation Management, a company promoting water purification vending machines. Allegedly, while investors were told thousands of machines would be built and profitable, only a fraction were ever produced or placed in operation, and in many cases the same machines were promised to multiple parties. This left investors facing substantial financial harm, with reported losses exceeding $200 million.
Allegedly, Jordan Chirico, a manager for the 352 Capital Fund, directed nearly $100 million of investor money into WaterStation bonds while failing to disclose his personal financial ties. This included direct investments through another company, undisclosed payments, and referral fees. These conflicts of interest, combined with the lack of transparency, have raised serious concerns about how the fund was managed.
When brokers or advisors recommend investments like the 352 Capital Fund, they are obligated to act in their clients’ best interests. Misconduct may include recommending unsuitable products, omitting or misrepresenting material information, or failing to disclose risks and conflicts. Investors who were misled or inadequately informed have rights, including the ability to bring claims through FINRA arbitration or litigation, in order to pursue recovery of losses tied to these violations.
Did you experience losses because of investing in the 352 Capital Fund through your financial advisor or securities broker? If so, reach out to Soreide Law Group online or at (888) 760-6552 to speak with a securities attorney about the potential recovery of your investment losses. Soreide Law Group has successfully recovered funds for investors nationwide. The firm operates on a contingency fee basis and advances all costs, ensuring that clients do not owe fees unless a recovery is obtained.
If you have questions about how your account was managed, now is the time to take action and explore your legal options.
Ernesto Chavez (CRD: 4315877) faces a new pending claim on BrokerCheck over an investment made in 2018. The customer alleges $180,000 in damages, and no arbitrator has ruled on the claim.
William Tunink (CRD: 2738224) settled a customer claim for $299,000 on August 11, 2026, according to his BrokerCheck report. The customer alleged that he obtained loans from the customer, and that some of the money went into an investment.
Tony Barouti (CRD: 3031995) faces a pending $230,400 customer claim, according to his BrokerCheck report. He says the allegations in it are false. His report also lists SEC administrative and cease-and-desist proceedings from August 2025.
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