Triad Advisors Subject to Multiple Disputes Regarding Sales of GPB Funds

Triad Advisors reported three new investor claims related to the sale of private placements in GPB Capital.

The Sonn Law Group is investigating allegations that Triad Advisors  brokers have recommended investments in GPB Capital Holdings or its affiliates without fully disclosing the risk associated with them. If you or a family member has suffered losses investing in GPB Capital Holdings, we want to discuss your case. Please contact us today for a free review of your case.

GPB Capital Holdings is a New York-based investment firm that offers exempt, private-placement securities. These investments inherently have a high degree of risk due to their nature as unregistered securities offerings (and without regulatory oversight).

The investment firm raised $1.8 billion from investors through private placements that invested in automotive dealerships, the waste management industry, and middle-market lending. These investments were high risk and high commission (nearly 8%) private placements.

Triad Advisors has been named in customer disputes alleging that brokers recommended investments in GPB Capital Holdings’ private placements. Currently, there are nine investor lawsuits alleging negligence for selling the private investments against brokers of the company. The damages requested are approximately $2.3 million. 

In November, Triad’s former parent company, Ladenburg Thalmann Financial, stated that Triad had been named in six customer arbitration complaints seeking a combined total of $1.65 million in damages. Since then, three additional disputes have been filed. 

In November 2019, GPB informed investors that they would not be supplying the audited financial reports by their deadline, even though investors have been awaiting the audits since April. In June 2019, GPB Capital Holdings reported losses in the value of two of its investment funds: GPB Holdings II and GPB Automotive Portfolio.

GPB Holdings II saw a decline in value of 25.4% and GPB Automotive Portfolio has decreased by 39%. GPB Holdings II and GPB Automotive Portfolio make up the majority of GPB Capital Holdings’ portfolio, raising $1.27 billion from investors.

GPB Capital Holdings manages the following nine private placements:

• GPB Automotive Portfolio, LP
• GPB Cold Storage LP
• GPB Holdings, LP
• GPB Holdings II, LP
• GPB Holdings III, LP
• GPB Holdings Qualified, LP
• GPB NYC Development, LP
• GPB Waste Management Fund, LP

GPB Capital Holdings’ other funds also reported declines in an estimated value of 25% to 73%.

Contact Us Today

The Sonn Law Group is currently investigating allegations that brokers recommended investments in GPB Capital Holdings. We represent investors in claims against negligent brokers and brokerage firms. If you or your loved one experienced investment losses, we are here to help. For a free consultation, please call us now at 866-827-3202 or complete our contact form.