Puerto Rico Bond Default Fraud
If you have suffered losses as a result of
PUERTO RICO BONDS, call David Weintraub at
(800) 718-1422 IMMEDIATELY.
What are Municipal Tax-Free Bonds?
Like any bond, municipal bonds are a method of investing where an individual loans money to an entity, receiving interest over a period of time, and receiving back their initial investment when the bond matures, resulting in a net gain for investors. Municipal (government) bonds are typically relied on for their stability and safety compared to other areas of investment. Municipal bonds have the added advantage of being exempt from taxes, attracting further investment.
Why are Puerto Rico Municipal Bonds Important?
Starting in September of 2013, there was a rapid drop in value of Puerto Rico’s municipal tax-free bonds. The sudden plummet in bond value resulted in massive losses for local and outside investors alike.
In August of 2015, Puerto Rico defaulted on a $58 million bond payment, and in January 2016, defaulted on $174 million in payments.
Will These Debts Ever Be Repaid?
Many economic forecasters are doubtful that these debts will be resolved in the foreseeable future. The Puerto Rican government’s inability to pay back their bonds has left investors suffering massive losses, totaling $70 billion. In April 2016, Puerto Rico’s governor signed a law which allows him to stop future payments on all Puerto Rico municipal bonds, making it even less likely that investors will see their funds returned.
How Can I Recover My Investment?
Though some investors bought bonds independently, many investors were given bad advice by financial advisors, investment firms, or stock brokers. With a poorly structured portfolio heavily concentrated in Puerto Rico municipal bonds, these investors were effectively ruined by incompetent handling of their finances.
If you or someone you know has suffered loss from investing in Puerto Rico municipal bonds due to bad advice from a broker or financial adviser, an experienced lawyer can help to recover your investment. David Weintraub will fight on your behalf to get your portfolio back from the company that ruined it.