Securities Arbitration Lawyers BlogDeVere Investment Fraud Victims
Recently, there has been an important decision that affects how pension fraud schemes are handled within the United States by the Securities and Exchange Commission. The recent case was filed against DeVere USA, Inc. DeVere USA Inc. has been registered with the Securities and Exchange Commission since June 5, 2013 and is incorporated in the State of Florida with its principal place of business in New York. DeVere USA, Inc.’s most recent report revealed that it has over $500 million in assets under management for its clients. If you have utilized DeVere’s USA Inc.’s services and have experienced losses, it is highly recommended that you speak with an attorney to see your potential legal rights for recovering your losses.
Facts of the Case
A case was filed with the Securities and Exchange Commission due to DeVere USA, Inc.’s failure to make full and fair disclosure to clients and prospective clients about material conflicts of interest regarding external compensation received from third-party product and service providers. DeVere USA Inc. maintains a list of clients from both the U.S. and the U.K. in which it provided investment guidance to its clients about recommended overseas transfers of U.K. pension plans to overseas retirement plans. The way they justified these transfers was that they qualified under the U.K. tax authority’s regulations as a Qualifying Recognised Overseas Pension Scheme (QROPS).
Between June 2013 and March of 2016 DeVere USA Inc. did not fully disclose to investors that QROPS advice compensated an affiliate of DeVere USA Inc. and then typically, compensated a DeVere advisor representative who had made the initial investment recommendations. In addition to the failure to disclose the compensation, DeVere USA Inc. made material misrepresentations regarding the “benefits of transferable U.K. pension assets to a QROPS with respect to a U.S. and U.K. tax treatment” that were not accurate. Furthermore, DeVere USA Inc. failed to file its ADV filings to the Securities and Exchange Commission, which is a requirement for investment funds that manage assets in over $25 million. Lastly, DeVere USA Inc. failed to draft and implement compliance procedures to ensure their investor advisors followed Securities and Exchange Commission requirements.
How Silver Law Group Can Help
There are many individuals that have been impacted by DeVere USA Inc.’s conflicts of interests, misrepresentations, and compliance failures. If you think that you have suffered a financial loss as a result of working with DeVere USA Inc., then it is important to consult with an attorney to assess your potential rights to recover your financial losses. Silver Law Group is dedicated to representing the interests of investors that have been victims of various forms of investor and pension fraud. Our firm has many years of experience recovering losses from fraudulent investor and pension schemes. If you suspect that you have been a victim of investor fraud as a result of working with DeVere USA Inc. and have questions regarding your legal rights or potential for recovery, please contact Scott Silver or the Silver Law Group for a complimentary consultation at ssilver@silverlaw.com or toll-free at (800) 975-4345.