Western International GWG Lawsuit

Soreide Law Group has filed a FINRA arbitration against: WESTERN INTERNATIONAL SECURITIES, INC., and their former registered representative, DANIEL K BEECH (Respondents).

The Claimant, represented by the Florida-based securities arbitration law firm of Soreide Law Group, is a widow in her 70s living in Nevada.  The lawsuit states that the Claimant and her late husband had invested their entire life savings of $300,000 in GWG “L” bonds with Western International Securities, and their former broker, Daniel K Beech. According to the lawsuit, the Respondents allegedly recommended the concentration of the entirety of their investable assets into GWG “L” bonds.

The lawsuit alleges that the Claimants had made the Respondents aware that they were a moderate risk profile and were looking for income into their retirement. Allegedly, GWG Holdings L bonds were presented to the Claimant and her late husband as safer than the stock market with little to no risk. The lawsuit alleges that the Respondents also reiterated on multiple occasions GWG related investments are safe, secure and asset backed and allegedly never once mentioned that the company was losing hundreds of millions of dollars and GWG was reliant upon new investor funds to stay afloat.

On April 20^th, 2022, GWG Holdings filed Chapter 11 bankruptcy which could potentially wipe out all or a significant portion of the Claimant’s life savings. In December of 2021, GWG Holdings failed to make their January 15^th, 2022 interest payment of $10,350,000 and to make their $3,250,000 principal payment on their “L” bonds. The lawsuit alleges that the Respondents chose to ignore this red flag and never attempted to liquidate any of the Claimant’s GWG bonds. The lawsuit claims it was unsuitable to concentrate 100% of Claimant’s investments into high risk unrated bonds.

The lawsuit alleges Western International Securities, and their former representative, Daniel K Beech’s actions have caused damages to the Claimant of approximately $300,000.00. The lawsuit is alleging negligence, breach of fiduciary duty and negligent supervision.

According to FINRA’s “BrokerCheck”, available to the public on FINRA’s website, Daniel Keith Beech (Daniel K Beech), has been in the securities industry for 8 years and has been listed with 5 firms. He is registered both as a broker and as an investment advisor. Beech has 5 disclosures on his FINRA CRD report, 3 of the disclosures are “Customer Disputes.” Two of the disputes have settled and one is pending.

It is anticipated that the Respondents will deny all allegations.

Daniel K Beech is currently registered with Innovation Partners LLC of Charlotte, NC since April of 2022.  Beech was previously registered with Western International Securities of West Lake Village, California.

If you’ve experienced losses due to the actions or recommendations of Western International Securities and/or their former registered representative, Daniel K Beech, particularly in GWG L Bonds, contact Soreide Law Group and speak to an experienced securities lawyer regarding the possible recovery of your investment losses through a FINRA arbitration at:  888-760-6552.

Soreide Law Group works on a contingency fee basis and represents our clients nationwide before FINRA.