The founding attorneys of CMF spent the majority of their careers at large New York defense firms, representing brokers and broker-dealers in securities litigation, arbitration, administrative and regulatory proceedings before FINRA and the U.S. Securities & Exchange Commission. Having extensive experience working on both sides of the fence, we have a unique understanding of the complexities of securities arbitration, mediation, regulation and litigation. Because CMF represents both plaintiffs and claimants in civil matters, and defendants and respondents in administrative and regulatory matters, we are familiar with all of the relevant legal arguments.
Types of claims
Menu
Pump and dump is a form of microcap stock fraud that involves artificially inflating the price of an owned stock through false and misleading positive statements, in order to sell the cheaply purchased stock at a higher price.
These schemes often occur on the Internet where it is common to see messages urging readers to buy a stock quickly. Often, the promoters or brokers will claim to have “inside” information about a development that will be positive for the stock. After these fraudsters dump their shares and stop hyping the stock, the price typically falls, and investors lose their money.