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Massachusetts Securities Regulators Have Sued Securities America, Inc.
Posted by: Jeffrey B. Kaplan
January 26, 2010

Massachusetts Securities Regulators Have Sued Securities America, Inc. for Securities Fraud Associated with the Recommendation and Sale of Medical Capital Notes

On January 26, 2010, the Enforcement Section of the Massachusetts Securities Division of the Office of the Secretary of the Commonwealth ("Massachusetts Regulators") sued Securities America, Inc., accusing the brokerage firm of committing securities fraud on a massive scale in course of recommending and selling Medical Capital notes.

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Medical Capital Investors Still Owed $1.7 Billion
Posted by: Jeffrey B. Kaplan
January 19, 2010

The court-appointed receiver for the Medical Capital fraud filed his sixth status report on January 11, 2010. As with the receiver's earlier reports, this report outlines the various fraudulent aspects of the Medical Capital entities. The report also reveals the unchanging fact that investors are unlikely to recover much money from the receivership. Specifically, the report discloses that Medical Capital investors are owed $1.7 billion, which is far greater than the assets available to pay the investors. The receiver's report further states that Medical Capital's lending activities were unprofitable beginning with the creation of its first notes, which purportedly were backed by medical receivables.

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