January 4, 2010 – Crosby & Higgins LLP successfully resolves numerous arbitration claims on behalf of investors, arising out of the sale and marketing of Auction Rate Securities
January 4, 2010
Crosby & Higgins LLP has, over the past six months, successfully resolved numerous arbitration claims filed against several major Wall Street brokerage firms with the Financial Industry Regulatory Dispute Resolution Corp (FINRA-DR) on behalf of investors damaged as a result of the fraudulent marketing and sale of auction rate securities (“ARS”). These firms grossly misled investors by marketing ARS as safe, conservative, cash equivalent liquid investments, while failing to disclose the material risks associated with the purchase of these financial instruments. Early in 2008, the ARS market froze when the financial institutions supporting the auctions unilaterally pulled their support of the market, leaving investors with over $330 billion in illiquid securities and no viable secondary market through which to redeem their investments.
In response to the misleading and dishonest practices of these firms, Crosby & Higgins LLP filed numerous arbitration claims against virtually every major financial institution on Wall Street that marketed and sold these securities, including downstream sellers, on behalf of both institutional and individual clients, seeking to restore client assets, as well as seeking to recover compensatory and consequential damages, as well as punitive damages and attorney’s fees. Through aggressive and determined representation, Crosby & Higgins LLP, has been able to successfully resolve many of these claims for investors on a confidential basis, protecting investor rights and freeing assets long frozen in the wake of the ARS market collapse. Crosby & Higgins LLP continues to fight for those individual and institutional ARS clients holding ARS with financial institutions that have refused thus far to redeem their holdings. If you have at least $1 million frozen in ARS and would like more information or to discuss your options, please feel free to contact our managing partner, Todd A. Higgins, Esq. directly, at 646-452-2304.