The SEC recently requested an emergency court action that would impose an outside monitor to oversee the private-equity firm GPB Capital Holdings LLC after years of accusations and litigation. The emergency court action followed months of trying to place a monitor, only to fail to reach an agreement with the firm voluntarily. However, in light of the filing, GPB agreed to have an independent monitor oversee the firm’s operations on Feb 11, before the court met to decide the case.
The SEC began investigating GPB as early as 2018 and investors are asking why it has taken so long for the SEC to act more assertively. New York Attorney General, Letitia James, has described GPB’s scheme as a $1.7 billion Ponzi-like scheme that has cost investors more than $700 million. New York has joined six other states, including Missouri, and federal agencies in suing the firm.
If you are an investor who purchased a GPB Capital product, contact us. You may have a claim of securities mismanagement or broker-dealer misconduct. We may be able to help you reclaim losses suffered.