Fraud – The Financial Injury
A sequel to the hit movie Wall Street is due to be released in a few months. The sequel, called Money Never Sleeps, stars Michael Douglas as the infamous Gordon Gekko who was sent to prison for insider trading. Although the plot seems a bit disappointing, it will be worth it to watch Gekko resurrect his greedy persona. Insider trading, or stock fraud, is a financial injury that can be just as devastating as a physical injury. Imagine trusting someone with your life savings only to have your funds misappropriated. Known as a type of “white collar crime,” fraud can occur in insurance, real estate, healthcare, government and credit card areas.
Since fraud is a felony, the perpetrator will be prosecuted in federal court. Punishments for fraud can include fines and imprisonment. The victim can also initiate a lawsuit in civil court and try to recover the financial loss.
What can you do if you’re the victim of fraud? An investment loss lawyer can evaluate your case and advise you of the best way to gain restitution for your financial loss. The fraud laws in your state will help determine how long you have to file a lawsuit and what damages can be awarded. If the perpetrator is found guilty, his or her assets will be sold to pay the damages.
One of the most publicized cases of fraud involves NY financier Bernard Madoff who was charged and sentenced to 150 years in prison for swindling customers out of millions of dollars. The Securities and Exchange Commission (SEC), the federal agency that investigates securities fraud, is trying to recoup some of the money investors lost in Madoff’s Ponzi scheme.
Financial injury is extremely difficult to overcome, especially in this economy. Beware of the many Gordon Gekkos out there.
Michael Monheit is the managing lawyer at Monheit Law, outside Philadelphia, Pennsylvania. He has practiced law since 1989. Michael Monheit was the managing attorney of the law offices of Herbert Monheit — now Silverman and Fodera — a firm... Michael Monheit→