North and South Dakota

The Dakotas share a rich and complex history, deeply rooted in the ancestral lands of Native American tribes. These territories have witnessed generations of cultural and economic development, but they also remain vulnerable to financial exploitation. Native Americans, along with other cultural and religious groups in North and South Dakota, are particularly susceptible to affinity frauds and financial scams, including Ponzi schemes. Malecki Law, a nationally recognized securities fraud law firm, has extensive experience representing North and South Dakotans. We have specific knowledge of the most recent investment scams, and our attorneys have recovered tens of millions of dollars for seniors and other retail investors caught up in fraudulent schemes across the United States and internationally.

According to the Financial Industry Regulatory Authority (FINRA), millions of seniors fall victim to financial fraud annually. Recognizing this widespread issue, FINRA has implemented rules designed to protect senior citizens, including:

• Trusted Contact Person Requirement: FINRA member firms must obtain a trusted contact person for senior account holders.
• Temporary Holds on Transactions: Firms can place a temporary hold on securities transactions if fraudulent activity is suspected in a senior’s account.
• Specific Transaction Protections: Broker-dealers cannot use FINRA rules to pause transactions without a reasonable belief that financial exploitation is present.

These protections are essential but often underutilized, leaving many seniors, including seniors in the Dakotas, vulnerable to exploitation. Malecki Law works tirelessly to hold financial institutions accountable for their failure to enforce these safeguards.

Affinity frauds exploit the trust inherent in close-knit communities. The North Dakota Securities Department has highlighted how affinity fraud schemes thrive, noting that victims often fail to report the fraud due to embarrassment or a desire to resolve the issue within their group.

Unfortunately, this silence allows scammers to continue their schemes, often preying on additional members of the community.

Religious and cultural groups in North and South Dakota face heightened risks of affinity fraud due to the trust and familiarity shared among members. However, fraudsters do not discriminate—anyone can become a victim. Whether through a trusted community member or an unscrupulous financial advisor, these schemes often leave devastating financial and emotional impacts.

At Malecki Law, we understand the emotional toll these frauds take. Feelings of shame and embarrassment are common, but it’s important to recognize that fraud can happen to anyone. By seeking help from experienced legal professionals, you can take the first step toward recovering your lost investment funds and holding perpetrators accountable.

Malecki Law has handled countless securities litigations, arbitrations, and mediations involving affinity frauds and Ponzi schemes. Our attorneys have achieved record settlements and awards for defrauded investors. With a sharp focus on identifying fraudulent practices, we work to expose and address:

• Circumvention of Compliance Controls: Scammers often exploit weaknesses in firm compliance and supervisory systems.
• Negligence in Supervisory Duties: Financial entities have a duty to monitor customer accounts and remain vigilant against suspicious activity.
• Breach of Fiduciary Duty: Advisors must act in their clients’ best interests, and failure to do so can result in significant legal consequences.

If you or someone you know has been solicited with questionable investment schemes or noticed suspicious activity in your accounts, taking prompt action is critical. Here are the steps you should consider:

1. Document Everything: Retain all communication records, agreements, account statements, and transaction details related to the suspected fraud.
2. Consult a Securities Attorney: Reach out to Malecki Law for a free initial consultation. Our team can help evaluate your case and determine the best course of action.
3. Report the Fraud: Consider reporting the fraudulent activity to your state’s securities regulator or FINRA. We can assist you in preparing and submitting these complaints.

At Malecki Law, we are committed to protecting the rights of investors in North and South Dakota. If you suspect that you or a loved one has been the victim of a securities fraud scheme, contact our experienced securities fraud attorneys by calling (212) 943-1233 or emailing jenice@maleckilaw.com. With a proven track record of success, Malecki Law is here to help you recover your losses and hold wrongdoers accountable.