National investment loss lawyers KlaymanToskes is investigating brokerage firms and financial advisors who unsuitably recommended investments in Resolute/PetroRock Oil and Energy to their customers. Our law firm believes many investors may have been misled regarding the risks and liquidity issues associated with PetroRock Mineral Holdings’, Resolute Capital Partners’, and Homebound Resources’ private placement offerings following the SEC’s allegations of unregistered securities sales, material misrepresentations and omissions, and fraudulent practices by these entities and their principals.
One of the financial advisors being investigated by KlaymanToskes for allegedly recommending investments in PetroRock Oil & Energy is Kurt Berry of Vanderbilt Securities and Regulus Advisors, who is currently facing a pending customer complaint which alleges $473,000 in investor damages due to representations that Resolute/Petrorock Oil & Energy Investments were a non-correlated alternative to the stock market, which would not experience volatility.
If your financial advisor recommended unsuitable investments in Oil & Gas, or other private placement investments based on your investment profile, or disregarded your risk-tolerance when making investment recommendations, you may be entitled to a financial recovery through FINRA arbitration, in addition to participating in any class action against the company.
KlaymanToskes is investigating the following Resolute/PetroRock Oil and Energy investments issued by PetroRock Mineral Holdings, LLC, Resolute Capital Partners, and Homebound Resources, LLC:
If you suffered losses in Resolute/PetroRock Oil and Energy investments, or any other investments due to unsuitable recommendations by your brokerage firm or financial advisor, contact securities attorney Steven D. Toskes to discuss your recovery options at (888) 997-9956 or investigations@klaymantoskes.com for a free and confidential consultation. We do not collect attorney’s fees unless we are able to obtain a financial recovery for you.
Resolute Capital Partners and PetroRock Mineral Holdings, operating through Homebound Resources, LLC, were allegedly involved in unregistered securities offerings related to oil and gas investments. According to the SEC’s enforcement action and cease-and-desist order, between 2016 and 2019, these entities, led by Thomas Joseph Powell and Stefan Tiberiu Toth, raised over $250 million from retail investors through these unregistered offerings. The investments were marketed as debt and equity securities based on working interests in oil and gas wells.
The SEC found that Resolute and PetroRock made material misrepresentations and omissions in their investment offerings. They provided investors with overly optimistic projections of oil production that were not supported by historical performance, misled investors about potential tax benefits, and failed to disclose the extent of investor funds used for marketing, commissions, and paying off prior investors. Moreover, they sold these securities without registering them with the SEC, in violation of federal securities laws.
Additionally, Powell and Toth acted as unregistered brokers and were involved in setting contractual terms and advising potential investors, without being associated with a registered broker-dealer. They facilitated investments through general solicitation methods and sold securities to non-accredited investors without verifying their eligibility.
Resolute/PetroRock Oil and Energy investments are high-risk, non-registered, private placement investments. Private placements or “Reg D” offerings can be highly volatile investments, as they are early-stage companies with limited information and are not bound to the same Securities Exchange Commision (“SEC”) disclosure requirements as public investment offerings.
The brokers and financial advisors responsible for selling Resolute/PetroRock Oil and Energy investments, may be held responsible for any financial losses sustained by investors. Brokerage firms and financial advisors must consider their client’s risk tolerance prior to making recommendations, and cannot overconcentrate their customers’ accounts in any one investment product or market sector.
KlaymanToskes is a leading national securities fraud law firm that represents the interests of investors throughout the world who have suffered losses due to broker misconduct, investment fraud, and securities violations.
The article linked below contains important information relating to KlaymanToskes’ investigation of Resolute/PetroRock Oil and Energy investments:
If you suffered losses in Resolute/PetroRock Oil and Energy, or any other investments, contact securities attorney Steven D. Toskes to discuss your recovery options at (888) 997-9956 or fill out a short contact form for a free and confidential consultation.
The firm has helped recover over $600 million for investors (exclusive of attorneys fees and costs), and can help you determine if your loss is due to financial advisor misconduct, unsuitable investment advice, and/or other securities violations.
Potential conflicts of interest may arise when issuers incentivize brokers/investment advisors with substantial commissions to promote their financial products. A problem often associated with private placement investment recommendations is the high sales commissions brokers typically earn for selling these investments. A representative that recommends investments for the purpose of being compensated through increased commissions, and enriches themselves rather than benefiting the client, is violating securities laws.
To recover investment losses, you do not go through the traditional court system with a lawsuit. The only remedy is through a FINRA arbitration, a specific process designed for these types of disputes. This process involves presenting your case to a panel set by the Financial Industry Regulatory Authority (FINRA), not a courtroom. This approach is streamlined and focused on investment disputes, making it a suitable and effective way for investors to seek compensation for losses caused by financial advisors or brokerage firms.
FINRA (the Financial Industry Regulatory Authority) is a self-regulatory organization that oversees brokers and brokerages. In the event of a dispute between an investor and their financial advisor, investors can choose to file a FINRA arbitration claim. FINRA is overseen by the Securities and Exchange Commission (“SEC”).
The arbitration process is designed to be much faster than the court system and allows both parties to present their case before a panel of arbitrators. The arbitrators will then decide how to resolve the dispute, including ordering the advisor to pay damages for any losses suffered by the investor.
If you suffered losses in Resolute/PetroRock Oil and Energy investments or any other investments, contact attorney Steven D. Toskes, at 888-997-9956 or by email at investigations@klaymantoskes.com to discuss recovery options. We do not collect attorney’s fees unless we are able to obtain a financial recovery for you.
As an investor, there are signs that you should look out for if you believe you have a claim against your broker/advisor for unsuitable investment recommendations in Resolute/PetroRock Oil and Energy investments. These signs could potentially indicate misconduct, negligence, or investment fraud. Investors are encouraged to contact our firm immediately if you have experienced any of the following:
Some investors have close relationships with their brokers due to the time and trust built over the course of their investment relationship. However, it is crucial to remember that financial decisions should be based on careful analysis and due diligence rather than solely relying on personal relationships.
Engaging the services of an experienced securities attorney to evaluate your specific circumstances is strongly advised. At KlaymanToskes, our team of experienced securities attorneys has a deep understanding of this complex area of law, allowing us to provide invaluable insight and tailored guidance that directly addresses your individual needs.
If you purchased unsuitable Resolute/PetroRock Oil and Energy investments, or any other unsuitable investments through your financial advisor/brokerage firm, and suffered significant losses, contact KlaymanToskes at 888-997-9956 or fill out a short contact form for a free and confidential consultation. We do not collect attorney’s fees unless we are able to obtain a financial recovery for you.