BEVERLY HILLS, Calif., Aug. 24, 2009 (GLOBE NEWSWIRE) -- Aidikoff, Uhl & Bakhtiari (www.securitiesarbitration.com) announces an investigation of Medical Capital on behalf of investors in Medical Capital securities. The law firm has been contacted by investors and is preparing to file FINRA arbitration claims against broker dealers and possibly investment advisors firms for losses incurred based on the recommendation to purchase Medical Capital securities.
The individual brokers and individual advisors who sold Medical Capital are not targets of investor claims.
Medical Capital Corporation and Medical Provider Funding Corporation VI raised more than $2.2 billion through the offering of notes in Medical Provider Funding Corp VI and earlier special purpose entity offerings.
On August 3, 2009 the Securities and Exchange Commission (SEC) sought emergency relief. The SEC has alleged that investors were defrauded among other things, by Medical Capital's misappropriation of approximately $18.5 million of the $76.9 million raised through the sale of MP VI notes to pay administrative fees to MCC.
"The SEC has taken steps to prevent future capital raises from taking place," stated attorney Philip M. Aidikoff. "However, this will not help the thousands of investors who have lost millions of dollars by virtue of the recommendation of Medical Capital related securities."
"We are investigating claims for customers of Securities America, National Securities, American Portfolio Financial Services and other broker dealers," stated attorney Ryan K. Bakhtiari. "Brokerage firms owe a duty to conduct proper due diligence of investments before they approve the recommendation of them to their clients. We believe that clients of brokerage firms may have recourse."
Aidikoff, Uhl & Bakhtiari represents retail and institutional investors around the world in securities arbitration and litigation matters. More information is available at www.securitiesarbitration.com or by contacting an attorney below.