Facts

Respondents made representations to Claimants regarding an investment fund that allegedly would yield a 59 percent rate of return. Claimants subsequently invested in the fund, but were not provided accurate statements. Claimants suffered significant monetary loss and had their refund request ignored.

Claimants then brought an action against the respondents, asserting claims for breach of contract, fraud, violation of Illinois Deceptive Trade Practices Act, negligence, breach of fiduciary duty, and violation of Illinois Securities Law of 1953.

Damages

Claimants sought $200,000 in compensatory damages and $400,000 in treble damages, plus interest, costs, and attorney fees.

Result

Claims dismissed with prejudice as to respondent White Pacific Securities Inc. However, respondent Krittibas Ray was found liable for $200,000 in compensatory damages, interest at the rate of 3 percent per annum, and $47,000 in attorney's fees.

Other Information

ARBITRATORS: Ray J. Grzebielski, Leonard A. Nelson, Renan I. Sugarman.