Corporate & Securities Law

Eccleston Law has announced that it is actively seeking investors who lost money investing in Financial Update, Inc. through Algird Norkus, a Chicago area broker who was registered with Madison Avenue Securities in Delaware until August 24, 2010.

The SEC charged Norkus with fraud in connection with the sale of promissory notes by Financial Update, a company that was wholly owned and controlled by Norkus.  The promissory notes purported to pay interest of up to 24%. Norkus allegedly told investors that the return of their principal was ?guaranteed? and that there was ?no risk? to the investment. 

Norkus allegedly targeted investors that were elderly and/or unsophisticated, and gained their trust and confidence by becoming their friend and confidant for some time before soliciting money.  Norkus is believed to have solicited a number of investors through lunch seminars.

Norkus represented that he was going to use the funds raised as operating capital for Financial Update, which he said was in the business of providing insurance to the uninsurable.  Instead of using investors? money as promised, Norkus used the investors? money to pay for his personal expenses as well as to make interest and principal payments to earlier investors in classic Ponzi scheme fashion. Norkus never disclosed to investors that he intended to use their money in this way.

The attorneys at Eccleston Law believe that Norkus raised over $6.4 million from up to 50 investors through the offer and sale of the promissory notes issued by Financial Update

Eccleston Law represents individual and institutional investors to recover their investment losses caused by securities and investment fraud. Our attorneys also help victims of Ponzi schemes pursue recovery by submitting claims with receiverships established by the SEC or by assisting victims with the filing of a Theft Loss Tax Deduction with the IRS.

If you have more information on the offering fraud perpetuated by Al Norkus or have suffered losses as a result of investing in Financial Update, your losses may be recoverable.  Please contact Jim Eccleston at the Eccleston Law Offices at 312-332-0000 for more details.