Iowa Investor Awarded $1.2 millio

Mar 16, 2015

National Planning Corp., along with their financial advisor, Joseph Russo, was ordered to pay $1.2 million in damages after Russo allegedly recommended a risky real estate investment to an elderly client. In 2003, the investor and his wife invested $2.5 million, which was practically all of their savings, in a commercial building with a single tenant lease. A decade after the initial investment there was no tenant, which meant no income for the investors. The property ended up going into foreclosure and the investor received $141,000 from the sale of the property. National Planning claimed that the investor made $1.8 in income from the property and received tax deferrals from owning it. The investor’s lawyer argued that the real estate investment was too speculative and concentrated for an elderly couple.

To read more, click Here


Submit a Comment

Your email address will not be published. Required fields are marked *