American Trust Investment Services Customer Pursues $500k Recovery for GWG L Bond Investments

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Updated on: April 28, 2023

L Bond Investment Losses at American Trust? Contact KlaymanToskes 

National investment loss attorneys KlaymanToskes reports that the firm has filed a FINRA arbitration claim (no. 23-00934) seeking up to $500,000 on the behalf of a former American Trust Investment Services customer whose portfolio was overconcentrated in unsuitable and high-risk GWG L Bonds.

Customers of American Trust Investment Services who suffered investment losses in L Bonds are encouraged to contact attorney Lawrence L. Klayman, Esq. at (888) 997-9956 or lklayman@klaymantoskes.com for a free and confidential consultation to discuss legal options. We do not collect attorney’s fees unless we are able to obtain a financial recovery for you.

GWG L Bond Losses at American Trust Investment Services:

According to the claim, American Trust Investment Services and David Richard Geake misrepresented the risks associated with the investments recommended to the customer. The firm and its representative made material misrepresentations of material facts and engaged in unauthorized purchases. 

The customer was unaware that the investments were speculative and incorporated significant risks. In fact, when the customer moved his account to JP Morgan, the new firm would not take custody of his Alternative Investments due to their risk and lack of liquidity. 

Additionally, the customer was not made aware by Geake or the firm that one of his investments has a surrender charge of $5,000 if it is surrendered before six years. The customer is hopeful he will be able to limit any additional losses in the Alternative Investments, but also incurred $5,000 in capital gains. 

KlaymanToskes’ Experience With High-Risk GWG L Bonds: 

KlaymanToskes is currently representing many investors who sustained significant losses in GWG Holdings, Inc. (OTCMKTS: GWGHQ) L Bonds. Investors are encouraged to learn more about GWG L Bond Investment Recovery Options.

GWG L bonds were marketed as safe and low-risk investments that were instead illiquid, high risk, and speculative. Although GWG filed for chapter 11 bankruptcy in April, 2022, investors may still pursue individual FINRA arbitration claims against the financial advisors and firms who sold L Bonds. 

In another FINRA arbitration claim (Case No. 22-01644), the firm represents a former customer of Newbridge Securities Corporation’s The Villages, FL branch, in connection with the unsuitable sale of GWG L Bonds. The claim was filed on the behalf of a disabled retiree who is seeking to recover up to $500,000 in L Bond damages at the hands of his Newbridge broker Michael Joseph Whitaker. 

KlaymanToskes currently represents investors seeking the recovery of their GWG L Bond losses against brokerage firms such as Coastal Equities, Ni Advisors, Moloney Securities Co., Emerson Equity, Western International, Intervest International, Newbridge Securities, and others.

Contact attorney Lawrence L. Klayman, Esq. for a free and confidential consultation at (888) 997-9956 or lklayman@klaymantoskes.com to discuss your potential case. We offer free consultations and every case is taken on a contingency basis, meaning we do not collect attorney’s fees unless we are able to obtain a financial recovery for you.

About KlaymanToskes

KlaymanToskes is a leading national securities law firm which practices exclusively in the field of securities arbitration on behalf of retail and institutional investors throughout the world in large and complex securities matters. The firm has recovered over $250 million in FINRA arbitrations and over $350 million in other securities litigation matters. KlaymanToskes has office locations in California, Florida, New York, and Puerto Rico.


KlaymanToskes, P.A.
Lawrence L. Klayman, Esq.