Updated on: January 4, 2023
If you suffered losses as a result of investing in HJ Sims bonds, you have recovery options. Contact KlaymanToskes
National investment fraud lawyers KlaymanToskes is continuing its investigation of Herbert J. Sims & Co. Inc. (“HJ Sims”) for alleged violations of securities rules and regulations regarding the sale of Regulation D (“Reg D”) securities. HJ Sims has sold over $2 Billion in private placement bonds to its customers – many of which are delinquent and have missed interest payments. Investors that suffered losses as a result of investing with HJ Sims should contact our firm immediately.
Reg D (non-public) securities offerings are exempt from certain Securities Exchange Commision (“SEC”) requirements, however, HJ Sims is a FINRA-regulated brokerage firm. With decades of securities industry expertise, KlaymanToskes raises the question of possible securities violations occurring at the firm, including potential disregard of FINRA’s rules and guidelines on Due Diligence and Suitability of Private Placements.
According to economic consulting firm SLCG’s November 2022 report, “Far from being an efficient way for operating companies to raise capital, the Reg D program at HJ Sims appears to have simply been a way for Sims executives to place large bets with their clients’ money, keeping any gains for themselves and shifting most of the losses onto its retail clients.”
If you suffered investment losses with Herbert J. Sims & Co. Inc., you are encouraged to contact attorney Lawrence L. Klayman at (888) 997-9956 or lklayman@klaymantoskes.com to discuss recovery options.
According to a 2022 report issued by the securities consulting firm Securities Litigation Consulting Group (“SLCG”), at least 43 out of 93 HJ Sims offering issuers failed to file required yearly registration forms with the state of Connecticut. Additionally, the company’s executives “appear to have created and controlled almost all the issuers of the Reg D securities it sold in the past 10 years.”
SLCG’s report also notes that at least 10 of the HJ Sims Reg D offerings have defaulted on interest and/or principal payments:
- Cypress Point Funding, LLC
- Gryphon Finance I
- Hawkeye Village Finance I
- HJSI Athena Portfolio Finance
- Madison Funding I
- Poet’s Walk Finding I
- Riverchase Funding
- Sims Cathcart Funding
- Tuscan Isle Champions Gate Holdings
- Tuscan Isle Holdings 1
The list below contains all 93 of HJ Sims’ private placement offerings and their state registration status:
- Cleveland Thermal, LLC (Active)
- Lake County, Florida (N/A)
- Fountains Acquisition Finance I, LLC (Dissolved)
- Elderwood Acquisition, LLC (Delinquent)
- Stuart Lodge Living LLC / Stuart Lodge Properties LLC (Active)
- Sims Cathcart Funding, LLC (Delinquent)
- Cleveland Thermal, LLC (Active)
- HBS Acquisition Finance, LLC (Dissolved)
- Orchard View Acquisition, LLC (Delinquent)
- DRSN Real Estate GP LLC (Active)
- MacKenzie Preferred Funding, LLC (Delinquent)
- Fox Ridge Finance, LLC (Dissolved)
- Heatherwood Acquisition, LLC (Delinquent)
- Sims Merrill Gardens III, LLC (Delinquent)
- Discovery Funding Sarasota Bay, LLC (Dissolved)
- Athena Acquisition VI, LLC (Delinquent)
- Epic Finance I, LLC (Delinquent)
- Carmel Acquisition, LLC (Delinquent)
- Gryphon Finance I, LLC (Delinquent)
- Treeo Funding I, LLC (Dissolved)
- Treeo Funding I, LLC (Delinquent)
- Fountains of Hope, LLC
- Tuscan Isle Property Company, LLC (Active)
- Tuscan Isle Holdings 1, LLC (Active)
- Tuscan Gardens of Venetia Bay Properties, LLC (Active)
- Gryphon BH Funding, LLC (Delinquent)
- Riverchase Funding, LLC (Delinquent)
- HJSI Athena Portfolio Finance, LLC (Delinquent)
- Meridian Portfolio Funding I, LLC (Delinquent)
- Tuscan Isle ChampionsGate Holdings, LLC (Dissolved)
- Tuscan Isle ChampionsGate Prop. Co., LLC (Dissolved)
- Cypress Point Funding, LLC (Delinquent)
- Wakefield Portfolio Funding I, LLC (Delinquent)
- Affinity Portfolio Funding, LLC (Active)
- BHCP Acquisition, LLC (Dissolved)
- Affinity Portfolio Funding II, LLC (Dissolved)
- Affinity Portfolio Funding III, LLC (Delinquent)
- Affinity Development Funding I, LLC (Active)
- Vantage Point Funding I, LLC (Delinquent)
- Sante Funding I, LLC (Delinquent)
- Tuscan Gardens of Palm Coast Properties, LLC (Active)
- Vita Funding I, LLC (Delinquent)
- LW Development Funding I, LLC (Delinquent)
- Affinity Funding IV, LLC (Dissolved)
- NHG Funding I, LLC (Delinquent)
- Affinity Portfolio Funding V, LLC (Dissolved)
- Affinity Portfolio Funding VI, LLC (Delinquent)
- Monarch Funding I, LLC (Delinquent)
- Sims Benchmark V, LLC (Delinquent)
- TL Funding I, LLC (Delinquent)
- Sims Merrill Gardens V, LLC (Delinquent)
- Stonebridge Funding I, LLC (Delinquent)
- NHG Funding II, LLC (Delinquent)
- Riverview ALF Holdings, LLC (Active)
- Civitas Funding I, LLC (Delinquent)
- Inspirit Venue Funding I, LLC (Delinquent)
- Sims High Income Portfolio, L.P.
- Poet’s Walk Funding I, LLC (Delinquent)
- NHG Funding III, LLC (Delinquent)
- Monarch Funding II, LLC (Delinquent)
- DRSN Real Estate GP LLC (Active)
- Monarch Funding III, LLC (Delinquent)
- Madison Funding I, LLC (Delinquent)
- TL Funding II, LLC (Delinquent)
- Monarch Funding IV, LLC (Delinquent)
- NREA Southeast Portfolio Three, DST
- Links Funding I, LLC (Delinquent)
- Family Health Funding I, LLC (Delinquent)
- Sims Benchmark VI, LLC (Delinquent)
- NREA Retreat, DST
- Sims Merrill Gardens VI, LLC (Delinquent)
- Griffin Capital (South Beach – Vegas)
- TL Funding III, LLC (Delinquent)
- Caraday Funding I, LLC (Delinquent)
- Crown Point Funding I, LLC (Delinquent)
- Magnolia Funding I, LLC (Active)
- Voralto Funding I, LLC (Active)
- Links Funding II, LLC (Active)
- ALG Funding IX, LLC (Dissolved)
- Watermark FL Funding, LLC (Active)
- SAL Funding I, LLC (Active)
- Commercial Equipment Finance Income Fund, LLC
- TL Funding IV, LLC (Active)
- Elevate Funding I, LLC (Active)
- Vinebrook Homes Trust, Inc. (Delinquent)
- Parliament Credit Opportunities Fund, LLC
- Comprehensive Care Funding I, LLC (Active)
- PPG Funding I, LLC (Active)
- Hill Valley Funding I, LLC (Active)
- Links Funding III, LLC (Active)
- PPG Funding II, LLC (Active)
- NexPoint Buffalo DST
- NexPoint Hughes DST
KlaymanToskes can help you determine if HJ Sims may be liable for your investment losses. Depending on your circumstances, you may be entitled to recover losses through FINRA arbitration. Contact KlaymanToskes at (888) 997-9956 or online at www.klaymantoskes.com.
About KlaymanToskes
KlaymanToskes is a leading national securities law firm which practices exclusively in the field of securities arbitration and litigation 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.
Contact
KlaymanToskes, P.A.
Lawrence L. Klayman, Esq.
888-997-9956
lklayman@klaymantoskes.com
www.klaymantoskes.com
