Update On Lehman Principal Protection Note Investigation
When Lehman Brothers Holdings filed for bankruptcy protection on Sept. 15, investors who previously purchased the company’s 100% Principal Protection Notes (PPNs) thought they were protected. After all, Lehman’s own marketing brochures touted the notes as “100 percent principal protection.” Little did they realize that the value of the notes was contingent on Lehman’s own solvency. When Lehman filed for bankruptcy, it subsequently defaulted on many of the notes.
In the wake of the bankruptcy, a class action was filed on Nov. 6 on behalf of individuals who purchased Lehman Principal Protection Notes (PPNs) from UBS Financial Services, Inc. The complaint alleges that UBS brokers made false and misleading statements that omitted key facts about the risks connected to the Lehman notes.
“Investors should be aware of the pending class action,” said attorney Ryan K. Bakhtiari of Aidikoff, Uhl & Bakhtiari. “The class case has certain pitfalls that investors need to be aware of in selecting an attorney. In our opinion, most investors will fare better by filing individual arbitrations.”
The brokers who sold the Lehman PPNs are not targets of the investigation, according to the investors’ legal team, which includes the firms of Aidikoff, Uhl & Bakhtiari, of Beverly Hills, Calif.; Maddox, Hargett & Caruso, P.C., of Indianapolis, Ind. and New York, N.Y.; Page Perry, LLC, of Atlanta, Ga.; and David P. Meyer & Associates Co., L.P.A., of Columbus, Ohio.
For additional facts to consider before joining a Lehman Principal Protection Note Class Action, go to: http://www.marketwatch.com/news/story/Lehman-Principal-Protection-Note-Investigation/story.aspx?guid=%7BB1DCAE49-C622-4C49-BC55-CE6C17C887D0%7D
Our affiliation of securities lawyers is actively involved in advising individual and institutional investors in evaluating their legal options when confronted with subprime and other mortgage-related investment losses.
