The Florida-based Soreide Law Group has filed a FINRA arbitration on behalf of our client (Claimant) against:

NEWBRIDGE SECURITIES CORPORATION and their registered representative,

JAMES E WILLIAMS (Respondents)

The Claimant is a retiree living in Pompano Beach, Florida who hired Newbridge broker, James E Williams, to help the Claimant with retirement planning. The lawsuit states that the Claimant has a limited background in investing and was reliant on Newbridge Securities and James E Williams for advice. The lawsuit alleges that the Claimant was looking for moderate growth investments and income to sustain him and his wife through retirement without risk of loss to the principal.

According to the lawsuit, from the onset of the relationship, the Respondents concentrated $150,000 into highly speculative GWG Series L bonds. The GWG L bonds are unrated debt which means they are highly speculative. On April 20th, 2022, GWG Holdings filed Chapter 11 bankruptcy which could potentially wipe out all of the investment. In December 2021, GWG Holdings failed to make their January 15th, 2022 interest payment of $10,350,000 and to make their $3,250,000 principal payment on their “L” bonds.

The lawsuit alleges that Newbridge Securities and James E Williams did not attempt to liquidate any of the Claimant’s GWG bonds. Allegedly, James E Williams reiterated on multiple occasions GWG related investments are safe, secure and asset backed. In addition to the GWG bond loss, the lawsuit alleges additional stock trading strategies which consisted of large concentrated positions in low priced securities and growth stocks which were outside of the stated risk tolerances of the Claimant.

The lawsuit alleges that Newbridge Securities and their registered representative, James E Williams, actions have caused damages to the Claimant of approximately $350,000.00. The lawsuit is claiming:  negligence, breach of fiduciary duty, negligent supervision and violation of Florida’s Investor Protection Act. It is assumed the Respondents will deny any allegations.

Since L Bonds carry significant risks, they are not suitable for all investors.  Particularly if a broker/financial advisor made unsuitable recommendations of GWG Holdings L Bonds to investors with low-risk tolerances, conservative investment objectives, or liquidity needs.

It was reported that GWG Holdings, stated in prospectuses that: “Investing in our L Bonds may be considered speculative and involves a high degree of risk, including the risk of losing your entire investment.”

April 20th, 2022, GWG Holdings filed Chapter 11 bankruptcy. Investors have until July 29th, 2022 to file a proof of claim form. Currently, Soreide Law Group, has filed over a dozen claims against various brokerage firms who sold GWG Investments. Investors should pursue all avenues to attempt a recovery of their GWG L Bond losses.

According to FINRA’s BrokerCheck, available to the public on FINRA’s website, JAMES EARL WILLIAMS (James E Williams), has been in the securities industry for 34 years and has 8 disclosures on his FINRA CRD report.  Of the 8 disclosures, 4 are “Customer Disputes,” 3 have settled and 1 was denied.  Of the three that have settled, some of the allegations listed in the FINA reports were, recommending unsuitable mutual funds, excessive and unsuitable securities transactions, and purchasing stock without authorization.  The settlement amounts were, $45,500.00, $40,000.00 and $850,000.00. Williams denies all allegations.

JAMES EARL WILLIAMS has been with 5 firms and is currently listed with the following firm since 6/9/2010:

NEWBRIDGE SECURITIES CORPORATION

1200 NORTH FEDERAL HIGHWAY
SUITE 400
BOCA RATON, FL 33432

If you’ve suffered losses due to the purchase of GWG L Bonds, through JAMES EARL WILLIAMS of NEWBRIDGE SECURITIES CORPORATION in Boca Raton, Florida, or any other broker/dealer, you may be able to recover your losses through a FINRA arbitration.  Contact the Florida-based Soreide Law Group and speak to an experienced securities lawyer at no cost regarding the possible recovery of your financial losses through a FINRA arbitration at:  888-760-6552.

Soreide Law Group works on a contingency fee basis, no fee to you if no recovery, and represents clients nationwide before FINRA.

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