Malcolm Segal Ponzi Victim Awarded $1,577,665 in FINRA arbitration

A Malcolm Segal Ponzi Scheme victim who was an elderly widower alleging to be the victim of Malcolm Segal’s Ponzi scheme recovers $1 million in punitive damages, in addition to $348,108 in compensatory damages and $229,557 in attorney fees from Aegis Capital. The Philadelphia Claimants brought their claim through the Financial Industry Regulatory Authority “FINRA”.
The Claimants asserted the following causes of action: breach of contract, promissory estoppel, failure to supervise, unfair trade and deceptive practices, violations of Pennsylvania Securities Statutes, and violations of Florida Securities Statutes. The Claimants alleged that Segal perpetrated a long running Ponzi scheme on unsuspecting and unsophisticated investors, including the Claimants, who were an elderly widower trying to provide for his grand children’s' future. Claimants alleged that Segal recommended CD investments, which were later discovered to be entirely fictitious. Claimants also alleged that regular interest payments, coupled with the forged bank documents, which indicated that the investments were in order, convinced Claimants that their money was properly invested. Finally, Claimants alleged that Aegis failed to supervise Segal. This was FINRA case number 14-02772.
Between July 2011 and July 2014 Segal sold fictitious CDs to Aegis Capital clients. Segal either purchased CDs for his Aegis Capital clients but without their knowledge or consent would sell them and keep the profits. Segal was registered with Aegis Capital from April 2001 through July 2014. Aegis Capital has a duty to supervise all securities related activities of the employees which included Malcolm Segal. If you were a victim of the Malcolm Segal ponzi scheme Soreide Law Group would like to hear from you.
If you were a victim of the Malcolm Segal Ponzi scheme call Soreide Law Group for a free consolation (888) 760-6552. Representing defrauded investors nationwide through the Financial Industry Regulatory Authority. Soreide Law Group works on a contingency fee and we advance all costs.