Scott Silver was interviewed by The Palm Beach Post for an article about Seeman Holtz, a Boca Raton insurance company accused of swindling over 1,000 investors out of hundreds of millions of dollars with the sale of unregistered promissory notes.
Seeman Holtz is alleged to be a Ponzi scheme, is unable to pay its obligations, and has liabilities that exceed its assets. The company is now under the control of a corporate monitor and Scott Silver’s firm, Silver Law Group, represents investors who purchased the promissory notes, many of whom are South Florida-based retirees.
The Florida Office of Financial Regulation has investigated Seeman Holtz and filed a lawsuit in Palm Beach County Circuit Court. Co-founder Marshal Seeman, chief financial officer Brian Schwartz, and Seeman Holtz and related companies are accused of misconduct such as securities fraud.
Circuit Judge Ashley Zuckerman appointed a Fort Lauderdale company as independent monitor to take over operations at Seeman Holtz, unravel the scheme, and recover as much money for investors as possible.
Seeman Holtz Promissory Notes
For years, Seeman Holtz sent sales representatives to Boynton Beach, Boca Raton, Delray Beach, The Villages, and elsewhere, to sell promissory notes that were described as safe investments that would provide reliable income. Many were convinced to put their life savings into the notes.
Investors were told that their promissory notes were invested in life insurance policies, but it’s alleged that much of investor’s money was actually used to fund Seeman Holtz operations and to pay earlier investors. Investors received their interest checks on a monthly basis as promised, unaware of impending problems.
Eventually, the alleged scheme collapsed, and investors stopped receiving their monthly payments. Notes that matured did not pay back principal, leaving many investors in a desperate situation.
“It’s a heartbreaking story…I’ve talked to people who can’t pay their nursing home and hospital bills and are struggling just to put food on the table,” Scott Silver told The Palm Beach Post.
In June, 2021, co-founder and partner Eric Holtz died by suicide in a hotel in Big Sur, California.
Silver Law Group Files Class Action Lawsuit
Silver Law Group filed a federal class action lawsuit against Seeman Holtz days before the suicide of Eric Holtz. One lead plaintiff in the lawsuit is 76-year-old Broward County resident Fanny Millstein, who with her husband invested their life savings with Seeman Holtz and were not repaid their principal when their notes matured.
According to the complaint, “Using a network of unregistered dealers, Seeman Holtz sold the Notes to seniors, including Plaintiffs and others, by telling investors that the notes, including the Notes at issue in this case, were safe and secure and would be collateralized by a portfolio of life insurance policies which would provide safety of principal and substantial returns.”
The complaint calls those representations false and misleading because the entities had no collateral or were undercollateralized, among other reasons.
Contact Silver Law Group, Florida Securities And Investment Fraud Lawyers
Silver Law Group has extensive experience representing investors with losses caused by unregistered investments, including promissory notes like those sold by Seeman Holtz.
If you or someone you know invested in any of Seeman Holtz’s offerings, please contact Silver Law Group for a no-cost consultation at (800) 975-4345 or email firstname.lastname@example.org. This blog may be considered attorney advertising and should not be relied upon by any person as personal legal advice or creating an attorney-client relationship.