FINRA Arbitration filed against FSC Securities to recover alternative investment losses

WOODINVILLE, Wash. - Oct. 6, 2015 - PRLog -- The claim, filed against FSC Securities, seeks recovery of investment losses between $50,000 and $99,999.

The claim filed by The White Law Group was filed on behalf of four Washington state investors and alleges claims for fraud, breach of fiduciary duty, negligence, and negligent supervision. The claim specifically alleges that the investors were unsuitably invested in a high-risk non-traded REIT called Behringer Harvard and that FSC Securities only selected the investment because of the commissions generated as a result of the recommendation.  The claim further alleges that FSC Securities failed to perform the proper due diligence on the investment prior to offering it for sale to its clients.

Broker-dealers have a fiduciary duty to perform adequate due diligence on any investment prior to recommending them for sale to their clients and to ensure that the investments it recommends are appropriate for the client in light of the clients age, investment experience, net worth, and investment objectives.

The claim specifically involves the following high-risk alternative investment:

Behringer Harvard REIT I (n/k/a TIER REIT)

It is further alleged that the broker of record for these investors was Barry G. Hartman (CRD #1361232).  According to his FINRA BrokerCheck, Mr. Hartman has been the subject of at least 10 customer complaints.

For more information on the claim filed by The White Law Group, please contact the firm's Chicago office at 312-238-9650.

The White Law Group is a national securities fraud, securities arbitration, and investor protection law firm with offices in Chicago, Illinois and Vero Beach, Florida.

For more information on The White Law Group and its representation of investors in FINRA arbitration claims, visit http://www.whitesecuritieslaw.com.