NJ Investment Firm Charged with Securities Fraud

A New Jersey-based investment firm and its executives have been charged with a litany of securities fraud charges that allege they defrauded investors out of $12 million through the sale of unregistered securities.

According to New Jersey Attorney General Jeffrey S. Chiesa and the state Bureau of Securities, Osiris Partners, LLC and 10 individuals associated with the senior levels of the company were all named in the nine-count securities fraud complaint that was recently filed in Jersey City Superior Court.

The complaint alleges that the defendents violated New Jersey Uniform Securities Law on numerous occasions by creating false investor account statements, overstating Osiris Fund’s net asset value to produce higher management fees and conceal losses, and employing unregistered agents to sell limited partnership interests in the Osiris Fund.

“The defendants lied to investors and then created false records to maintain their deception. We allege these defendants enriched themselves by pocketing at least $4 million of investors’ hard-earned money from the fund, while they concealed substantial losses,” said Chiesa. “We’re asking the court to freeze the defendants' assets, with the goal of returning money to the defrauded investors.”

Between mid-2009 and 2011, approximately 76 investors were taken advantage of by Osiris’ scam.

The Chairman of Osiris who was named in the complaint, Peter Zuck, has previously tried to take advantage of investors. A three-time-felon, he was previously convicted of securities fraud and misconduct by a corporate officer, theft by failing to make a disposition of funds, and illegally retaining funds.

If you or a loved one has been taken advantage of by a securities or stockbroker fraud scam, call Sokolove Law today to learn more about possible pursuing a securities fraud lawsuit. For legal help, call (800) 581-6358.

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