A FINRA arbitration panel has ordered WFP Securities to pay investors close to $19 million. This money will be put into a trust for investors victimized by the scheme. According to a Wall Street Journal article, WFP brokers recklessly advised clients to invest their savings in the scheme without conducting adequate due diligence. The trust was awarded $6.5 million in compensatory damages, $7.5 million in punitive damages and $4.5 million in attorneys’ fees.
For more information visit finra.org
For more information on Ponzi schemes visit the SEC’s website at sec.gov