MIAMI, June 21, 2021 (GLOBE NEWSWIRE) — National investor fraud law firm, KlaymanToskes (“KT”), announces an investigation on behalf of investors in Northstar Financial Services (Bermuda) Ltd. following its recent bankruptcy and order to liquidate by the Bermuda government. Northstar Financial Services was a Segregated Accounts Company regulated by the Bermuda Monetary Authority, and touted its fixed and variable annuities products as offering segregated account protection, generous liquidity terms and a variety of commitment periods, as well as the benefits of a Bermuda trust structure.
In 2019, the owner of Northstar Financial Services (Bermuda), Greg Lindberg, was indicted on federal wire fraud and bribery charges, and he is currently serving in prison after his conviction last year. Months after Lindberg’s conviction, on October 1, 2020, the Bermuda Monetary Authority issued proceedings against Northstar Financial Services (Bermuda), and, on March 26, 2021, the Supreme Court of Bermuda issued a winding up order against the company.
Investors are now suing their broker-dealers after the company’s bankruptcy and liquidation in which they allege that their financial advisors misrepresented Northstar Financial Services (Bermuda) as a safe, low risk product like a CD that had guaranteed monthly income with principal protection. According to securities attorney, Lawrence L. Klayman, “broker-dealers not only have a duty to conduct proper due diligence on their recommended investments, but also must not misrepresent or fail to disclose material facts during the course of a sale or recommendation.”
The sole purpose of this release is to investigate investment advice provided by full-service brokerage firms related to Northstar Financial Services (Bermuda). Investors with losses in excess of $250,000 from investments in Northstar Financial Services (Bermuda) at full-service brokerage firms who have information related to the handling of their investment portfolios are encouraged to contact Lawrence L. Klayman, Esq., at (561) 542-5131.
KlaymanToskes is a leading national securities law firm which practices exclusively in the field of securities arbitration and litigation, on behalf of retail and institutional investors throughout the world in large and complex securities matters. The firm represents high net‐worth, ultra‐high‐net‐worth, and institutional investors, such as non‐profit organizations, unions, public and multi‐employer pension funds. K&T has office locations in California, Florida, New York and Puerto Rico.