NEW YORK–(BUSINESS WIRE)–#classaction–The law firm of Kirby McInerney LLP announces that it has filed a class action lawsuit in the U.S. District Court for the Western District of Texas against GPB Capital Holdings, LLC (“GPB”) and its lead underwriters and distribution agents Ascendant Capital, LLC and Ascendant Alternative Strategies, LLC (collectively, “Ascendant”), and Axiom Capital Management, Inc. (“Axiom”), and their principals, as well as numerous entities, including independent brokerage firms (the “Broker Defendants”), auditors, and the fund administrator, who assisted in private placement offerings of GPB’s limited partnership funds (collectively, the “Defendants”). The Class includes all investors who, between June 6, 2013 and October 25, 2019, inclusive (the “Class Period”), purchased or otherwise acquired interests in various GPB funds, including: GPB Holdings, LP; GPB Holdings Qualified, LP; GPB Holdings II, LP; GPB Automotive Portfolio, LP; GPB Cold Storage, LP; GPB NYC Development; GPB Waste Management, LP; and GPB Holdings III, LP (collectively, the “Funds”).
The suit asserts claims against the Defendants for violations of the Texas Securities Act (the “TSA”), Tex. Civ. Stat. Ann. Art. 581-33 and 581-7, as well as claims for fraud, breach of fiduciary duty, substantially assisting in the breach of such duties, and negligence. The lawsuit was filed by Kirby McInerney LLP of New York, NY, along with co-counsel Brophy Edmundson Shelton & Weiss, PLLC of Austin, Texas and Blackner Stone & Associates, P.A. of Palm Beach, Florida.
The complaint alleges, among other things, that the Defendants: (i) made materially misleading statements and failed to disclose material information in the offering documents and subsequent communications concerning the nature of the Funds’ businesses and distributions, the actual value of the investments, and the significant conflicts of interest of David Gentile and Jeffry Schneider, the principals of GPB and Ascendant, respectively; and (ii) failed to properly register the Fund offerings and the underlying securities or make required disclosures, as they were required to do given the circumstances of the offerings.
The complaint also alleges that numerous Broker Defendants selling the limited partnership interests, the Funds’ outside auditors, and the fund administrator assisted in the scheme. Importantly, the complaint does not assert claims against the specific Broker Defendants for their direct sales of the partnership interests to particular class members; rather, the complaint only asserts claims against the Broker Defendants for their substantial assistance, or aiding and abetting, of the scheme relating to these unregistered public offerings.
If you acquired limited partnership interests in any of the GPB Funds, have information, or would like to learn more about these claims, please contact Peter S. Linden, Partner, or Elizabeth M. Ortiz, Legal Assistant of Kirby McInerney LLP at 212-371-6600, by email at firstname.lastname@example.org, or by filling out the contact form found on the firm’s GPB litigation page, to discuss your rights or interests with respect to these matters without any cost to you.
Kirby McInerney LLP is a New York-based plaintiffs’ law firm concentrating in securities, antitrust, and whistleblower litigation. The firm’s efforts on behalf of shareholders in securities litigation have resulted in recoveries totaling billions of dollars. Additional information about the firm can be found at Kirby McInerney LLP’s website: www.kmllp.com.
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