Laidlaw and Company is a well-respected investment firm that has helped hundreds of customers around the world achieve financial success. However, they’ve recently suffered a bit of a black eye to their reputation when Relmada Therapeutics, a former client, sued them for breach of contract.
They are specifically suing the principals Matthew Eitner and James Ahern for failing to provide them with high-quality financial information.
What Happened Here?
Relmada is claiming that Laidlaw and Company, and by extension Eitner and Ahern, provided them with false or misleading information in 2015 that led to a bad investment. They are demanding compensation for these losses, saying that Eitner and Ahern failed to uphold their end of the contract and that they broke their confidentiality.
Even more surprising, Relmada has literally filed a restraining order against the company and its principals, demanding that they stay off of their premises until the case is over. Relmada believes that this is a necessary measure to protect themselves against “further harm” from Laidlaw.
How Has Laidlaw Responded?
This lawsuit continues to grow more complex, as Laidlaw releases information regarding their initial report to Relmada. It is getting hard to identify who said what and a lot of the testimony from both sides is becoming “he said, she said” statements that make it difficult to differentiate who is in the wrong.
The unfortunate animosity between the two have also complicated the case. Rather than trying to come to any agreement, both are pursuing the case to its furthest extent. As we come up on nearly a year since the initial investment advice was given, there doesn’t seem to be any end in sight.
Worst Case Scenarios
For Laidlaw, the worst case scenario in this case would be losing and being forced to pay compensation to Relmada. While they likely have insurance to cover this kind of loss, it might not be enough in this case. For Relmada, the worst case scenario would be getting forced to not only absorb their losses, but to pay Laidlaw’s legal fees.
This nasty case seems to only get worse as the months pass. More bitter renunciations and accusations come out every day and it is getting hard to imagine anyone coming out of this happy with the result.
The banking industry as an overall industry has many different types of banking. People are familiar with some more than others. However, one of the most popular types of banking yet frequently misunderstood is investment banking. Many people are familiar with the idea that investment banking deals with investments but that is only the surface level related to investment banking.
Almost no other banking type compares to the structure and complexity of investment banking. As a banking type, investment banking has three primary areas. Each area has clearly defined areas of concentration. As a result, the banking services that are done in one area do not overlap the services in another area. Within each area, the services are broken down to very specific banking services. With such a defined structure, investment banks can determine the particular areas that the banks want to operate within the organizational structure.
Some investment banks prefer providing certain services, so the banks will only contain those specific areas. Usually larger investment banks will contain more than one area. Sometimes larger investment banks will operate with all three areas. The decision is basically made by the individual investment banks.
On the other hand, smaller investment banks will usually not have more than one area of investment banking services. The reason is because smaller investment banks do not have the available amount of financial and human resources to handle more than one area of investment banking. Typically, smaller investment banks will choose the investment banking area that serves the banks’ purpose the best.
Beyond just the structure of investment banks, the organizational setup of investment banks make the banks unique. With three very different areas of investment banking, there is a need in the investment banking organizational setup for a position that can handle a wide range of responsibilities. One of the main positions that handles the various responsibilities within an investment bank is the investment banker.
Currently one of the most popular investment bankers in the investment banking industry is Martin Lustgarten. As an investment banker, Martin Lustgarten has accomplished many things during his professional career. He is a well respected professional in the investment banking industry.
Martin Lustgarten has many years of experience in the investment banking industry. He has used his experience and knowledge in the industry to springboard the opening of his own investment banking firm, Lustgarten Martin.
Relmada is a U.S pharmaceutical company publicly traded on the pink sheets marketplace using the acronyms (RLMD). It’s mainly involved in the development and production of novel treatments and therapies for central nervous system related medical conditions. Some time back, the firm went to the courts seeking an injunction placed against Laidlaw & Company (UK) Ltd. In September 2016, Relmada returned in front of the same Nevada District Judge.
The amended motion dated September 6, 2016, noted how the continued defamation by the accused was causing Relmada a many financial loss. The prosecution went ahead to cite the specific violations which are clearly stated in the Securities Exchange Act of 1934. The motion seeks punitive measures taken against Laidlaw and monetary compensation from the accused party.
Planned Hostile Take-Over by Laidlaw
The original restraining order was directed at the principals of the law firm: Matthew Eitner and James Ahern. The two stood accused of wrongful dissemination of false and misleading proxy materials about Relmada. The attorneys of the biotechnology firm were requesting the judge to put a halt to any further actions which would cause added damage to them moving forward.
In a letter addressed to their shareholders, the board noted of the steps and measures they had taken against the aggressors. The administration noted down the countermeasures they had lined up to safeguard and protect the interests of their shareholders moving ahead. The letter outlined the progress Relmada had made thus far with their planned novel treatments and therapies.
About the Principals of Laidlaw
Matthew Eitner, 38, is the current CEO of Laidlaw & Company (UK). He usurped the position in April 2011 a year after joining the organization. Matthew has worked at the Private Client Group Aegis Capital Corp as the MD. Before that, he served as the VP at Casimir Capital. James Ahern is a partner at the firm. Just like his boss, he previously worked at both Aegis Capital and Casimir Capital.
An amended lawsuit has been filed against British company Laidlaw and Company by pharmaceutical giant Relmada Therapeutics. Also named in the suit are CEO Matthew D. Eitner and Managing Partner James P. Ahern.
Relmada Therapeutics Files Amended Complaint Against Laidlaw and Its Principals, Matthew Eitner and James Ahern
The amended complaint, filed in the U.S. District Court of the District of Nevada, claims a breach of fiduciary duty regarding Relmada when it disclosed confidential company information, according to PRNewswire. Relmada is asking the court to award them damages for the fees were incurred when they were forced to answer false and misleading charges.
The court had previously issued a temporary restraining order against Laidlaw on the same charges of dissemination misleading material. Relmada’s Board of Directors feel that the company should be compensated due to the damage suffered by Laidlaw’s actions.
Stockholders received a letter outlining the actions taken by Relmada. The corrospondence also stated that Shareem Agkargar and Maged Shemouda were voted in overwhelmingly as new directors. Relmada’s board will vigorously pursue the legal action and continue to work toward protecting the company’s interests.
Laidlaw broker, Matthew Eitner, is also under fire for securities and investment fraud. Gallick has over 20 years experience and has been a registered broker with Laidlaw for 7 years.
According to Broker Check, Gallick has seven complaints dating back to 1998. He is the subject of at least 6 lawsuits; some have been settled.
Individuals who may have complaints against Gallick are encouraged to contact the law offices of Fitapelli Kurta. Additional complaints against James Ahern (Laidlaw) are filed as well
Laidlaw and Company has received at least 60 customer complaints. They have also been sanctioned for not properly filing records of the complaints.
Renting a house through Airbnb is more common and most individuals always use the procedure to look for accommodation. Other people have resorted to offering their homes as rentals. It is however more riskier and home users should understand some hints before allowing their houses to be used as rentals. More issues should however be understood by those individuals who are ready to give in to such actions. There are many issues such as the risk that the tenants brings into a given homestead such as harming the home owners and even destroying the house altogether.
Richard Dwayne Blair is a registered Investment Advisor at Wealth Solutions and it’s an investment advisory firm. Richard got his education at the University of Houston where he studied a bachelor’s degree in finance, majoring in Finance and Financial Management Services. He is the sole owner and wholly owns the company Wealth Solutions. Inc. The company is located in Austin, Texas. He has owned the company for over 22 years since its registration.
Richard Dwayne Blair has a wide experience in the wealth investment and advisory activities. He is the owner for Wealth Solutions Inc. for over 19 years, Worldwide Ventures Lp for 12 years and other companies where he is also currently working. He also holds a certificate of Retirement Income Certified professionals since he has experience in offering advice in relation to retirement and other investment.
Richard Blair offers advice and reasons and issues to consider before allowing tenants to their homes. Renting houses to tenants is riskier as compared to renting other houses. The home owners have been warned about giving in so easily to the rental companies since the insurance compensation that is offered by Airbnb. He has warned that the company would not compensate for the damage as would be required by the house owners in case of any loss.
The owners should be aware that the insurance covers that are offered to home owners don’t cover short term rentals. It is therefore advisable that they should be aware of the steps to take. They should either increase their premiums to cover for the shorter term rentals that so that they will be covered.
Richard Blair and the Wealth Solutions Inc. are involved in advisory activities and he is experienced in retirement advices to his clients. He manages funds for other clients who have accounts with the firm to provide objective advice and other wealthy preservation strategies.
Madison Street Capital is an investment banking firm that offers their services all over the globe. They provide financial advisory services to corporations, they handle mergers and acquisitions for companies and corporations, along with valuation services and financial advice to individuals, companies, and corporations in their offices in North America, Asia, and Africa.
Charles Botchway is the chief executive officer of Madison Street Capital and Karl D’Cunha serves as the senior managing director of the firm.
Madison Street Capital recently began a video education program about the services they offer to clients, companies and corporations. They created nine short animated videos about various terms they frequently use in their business dealings. This effort represents a quantum leap in bridging the gap between unsophisticated investors and those in the investment banking fields. By watching the entire video series by Madison Street Capital any investor will better understand the workings of this complicated business.
The efforts by Madison Street Capital should be applauded by everyone who has ever thought about what they need to do with their 401k or any savings, and small business owners may not be fully aware of all the options that an investment bank like Madison Street Capital can offer in regards to restructuring, refinancing, merging or receiving an influx of new monies to grow the business. Medium large companies or corporations who are not aware of the benefits of going public should closely examine the videos and consult with a representative of Madison Street Capital to learn more about the world of (IPOs) initial public offerings.
The signs are everywhere. The economies of the developed countries may be still in growth mode, but the emerging markets are drowning in recessions and uncontrollable inflation. Investors have been making huge profits from foreign assets for the last five years, but that is changing now. Investors like Jim Dondero, the president and co-founder of the Dallas-based management company, Highland Capital Management has enjoyed some of those returns.
Highland Capital has more than $26 million assets under management and a healthy share of those assets are foreign investment opportunities. Highland Capital executives like James Dondero like to invest in assets that produce long-term returns, but those assets are a little harder to find these days because of the recessions that are changing the dynamics of foreign investing.
When investors look for opportunities in other countries things like credit ratings and profits play a role in decision making, but government stability, and currency exchange also play a part in sound investment strategies. Right now, government stability in some emerging markets is non-existent, and the value of currency is being tampered with in other emerging countries. Those issues can spell financial disaster for foreign investors. When emerging markets are going through slow or no economic growth, the growth of the global economy suffers, and that is what is happening now, according to Dondero and other investors.
Even though economists predicted a 3 to 4 percent growth pattern for the United States in 2015, some investors say the GDP will only grow 2 to 3 percent this year. Those economists also say the economy of the United States will stay in that growth range for several years. One reason for the economic stagnation is the top emerging markets will not recover until 2017. That is the forecast and that bad news for some investors. China, for example, is trying to transition from an export economy to a consumer base economy and that will take time. If China is regrouping the rest of the world will feel the effects of those changes especially when it comes to imports. Another question mark is Brazil. Brazil must get its government issues resolved, and that may not happen for another two years. The only bright spot in emerging markets is India thanks to cheap oil and technology advancements. But India’s growth will not be enough to offset the slow economic growth of other nations, according to Dondero.
Investors like Dondero and the managers at Highland Capital say the best time to invest is when things look bleak. When countries and companies are trying to find a way to recover investment opportunities develop. That’s when deals are made in the investment world. Businesses and nations are more realistic when there is slow or no economic growth. There is a better chance that those investments will increase over a longer period. Downturns help investors that are willing to take risks and not worry about growth percentages. There are always great investments out there in good times as well as bad times, according to Dondero and other investors.
Brazil, one of the most desirable places to invest in and one of the most sought out after markets by foreign investors. What makes Brazil such a great place to invest is due to the powerful economy that Brazil continues to have. Brazil has the eight largest economy in the world and has one of the strongest trading partners a country could have. This trading partner is China. China, having one of the most powerful economies in the world is one of the best and most admirable trading partners to have.
Zeca Oliveira, one of the most respected businessmen in Brazil, knows and understands the market better than anyone in Brazil. Thanks to Oliveira, foreign investors can receive great advice as to ways to become acquainted with the Brazilian world of business.
Here are a few tips that Zeca Oliveira gives to those looking to become involved with Brazil’s market.
1.) Know the Major Players in Brazil’s Market
It is not a hidden fact that Brazil is owned by private and state owned banks. Having the biggest and most powerful economy in South America makes this country a Mecca for all investors. As a potential investor in the Brazilian economy, it is important to understand that Citibank Brazil is one of the largest banks in the world.
2.) Understand the Trading Partners of Brazil
Understanding Brazil’s trading partner which is China is one of the most important pieces of research one must do before planning to invest with Brazil. A strong economy in China means there will be good prices on all of the raw materials in Brazil. As a potential investor, you must keep an eye on all the competing countries. This will increase your profit and then, in turn, add to your success.
3.) Brazil’s Overvalued Currency
Brazil’s overvalued currency, makes this the perfect time to successfully invest in Brazil. The overvalued currency has also increased account deficits. To make up for this, the Central Bank has begun selling dollar swaps to the local markets. This has been done to avoid a fast depreciation. The currency is currently over appreciated. The economy has sparked industry in Brazil and has made now more than ever the perfect time to start investing in the Brazilian market. Brazil has one of the most powerful economies in the world that should not be ignored.