Las Vegas Securities Fraud Lawyer

Las Vegas Securities Fraud Attorney

Being a victim of securities fraud can impact your life in many ways and put you in a vulnerable position. Investments and securities are regulated by both the state and federal governments. Cases involving securities fraud can be timely and can lead to criminal and civil charges. It is important to have a knowledgeable Las Vegas securities fraud lawyer to represent you.

Why Choose Our Firm?

Rosenberger + Kawabata is located in Los Angeles, California, and has many years of experience representing clients in Las Vegas and throughout the nation in securities fraud cases. Elliot Rosenberger has been named one of Super Lawyers’ Rising Stars for the past five years, and B. Makoa Kawabata was named eight years in a row. This is an accolade given to the top 2.5% of lawyers in the state.

What Is Securities Fraud?

Securities fraud is a form of white-collar crime that involves falsifying information or giving misinformation to sway investors. The state of Nevada identifies securities as stocks, bonds, notes, and debentures. Most cases involving securities fraud are of a broker trying to dupe investors by leveraging the market in some way.

In 2024, the Federal Trade Commission reported investors lost a total of $5.7 billion to investment fraud. This data from the FTC ranked securities fraud as number four in the top frauds nationwide.

Las Vegas securities fraud is regulated by the state and federal governments. Nevada Secretary of State’s Securities Division and federal agencies (FBI, Department of Justice, and Securities and Exchange Commission) regulate and investigate securities fraud.

Investigations by these departments can be drawn out and take a lot of time prior to charges being dropped. Securities fraud is often tried as a criminal case with civil charges added on. It is important to understand different kinds of securities fraud.

What Are Common Types of Securities Fraud?

There are several forms of securities fraud, and some of the most common include the following:

• Churning – This is excessive trading in a specific account to churn more investments for a broker.
• Selling away – Selling an investment to a consumer under the guise of it being from a specific broker when it is not
• Insider trading – One of the most common forms of securities fraud, insider trading involves “insiders” sharing non-public information that influences the buying and selling of company stock.
• Ponzi schemes – Investment scams that promise future return on investments that may or may not be real
• Broker misconduct – Misconduct like “pump and dump,” when a fraudster artificially inflates the stock to then sell at an inflated price.

Common Penalties for Securities Fraud in Nevada

Since securities fraud is investigated by the state of Nevada along with the federal government, most cases result in criminal charges. State penalties for securities fraud can range from 1 to 20 years in prison, along with a hefty fine of up to $500,000.

The federal government takes investment fraud very seriously and, therefore, has some of the highest penalties. Convictions under the Securities Exchange Act can involve decades of imprisonment and potentially millions in fines. Other forms of penalties include:

• Victim restitution
• Forfeiture of assets
• Loss of licensure

Falling victim to securities fraud can greatly impact your life and future. It is important to hire a securities fraud lawyer who is knowledgeable and experienced.

Common Defenses for Securities Fraud

The most effective way to avoid securities fraud penalties is by hiring an attorney who can assist with your criminal defense. Common defenses for securities fraud are:

• Lack of intent: Your Las Vegas securities fraud attorney can prove your lack of intent in committing investment fraud. This can include proving that your broker did not conduct themselves authentically or that you fell victim to a Ponzi scheme.
• Lack of knowledge: Reliance on advice from a professional can act as a criminal defense if you were guided by a broker to make your investments without working knowledge of the fraud in place.

FAQs

What Is the Securities Fraud Law?

Securities fraud law involves federal laws and regulations that prohibit misinformation or deception when buying, selling, or offering securities. The Securities Act of 1933 and the Securities Exchange Act of 1934 were established to help prevent fraud and manipulation of the market for an individual’s or company’s financial gain. Violations of these laws can result in criminal charges at the state and federal levels, as well as civil charges.

What Are Three Types of Securities Fraud?

Three types of securities fraud are misrepresentation, Ponzi schemes, and pump and dump schemes. Misrepresentation involves omitting or falsifying details of a company’s financial condition to sell investment bonds or stocks. Ponzi schemes use money from early investors, promising them large returns with no intentions of following through. Pump and dump schemes involve fraudsters artificially inflating stocks to sell at a higher price.

How Do You Prove Securities Fraud?

Proving securities fraud involves using financial statements, trade records, and communications to show that information was intentionally omitted or misrepresented to deceive the buyer. If you believe you are a victim of a fraudulent scheme, it is important to reach out to a Las Vegas securities fraud lawyer so that they can gather evidence to prove your case.

Is Securities Fraud a Felony?

Securities fraud is classified as a felony at both the state and federal levels and carries heavy penalties for both. State of Nevada penalties for securities fraud carry a maximum of 20 years in prison and $500,000 in fines. Securities fraud penalties on the federal level can be much more severe.

Hire a Securities Fraud Lawyer

Being a part of a securities fraud case can leave you feeling defenseless and unprotected. This is where a qualified legal team can help. It is important to have a Las Vegas fraud attorney prepared to represent you and craft a defense on the federal and state levels. At Rosenberger + Kawabata, we have a powerful team of attorneys with many years of experience in criminal cases involving securities fraud.

Our team is located in Los Angeles, CA, but has extensive knowledge of Nevada laws and has represented many clients nationwide. Contact our office today to speak with one of our attorneys. We are prepared to fight this legal battle with you.