[ad_1]
The co-founder of a Florida financial firm facing lawsuits by investors alleging securities fraud has died by suicide, and a spokesperson on Monday denied he committed any wrongdoing, saying the death did not was unrelated to a class action lawsuit filed last week.
Eric Holtz, the 54-year-old co-founder of the Seeman Holtz Family of Companies in Boca Raton, committed suicide in California on Friday, the company’s spokesperson confirmed.
The lawsuits claim that Holtz, business partner Marshal Seeman and their insurance and financial company defrauded elderly investors in South Florida using notes backed by a life insurance policy.
Eric Holtz
The most recent, a June 7 class action lawsuit filed in South Florida federal court on behalf of Broward County resident Fanny Millstein, 76, alleges the company sold securities without proper licenses and external controls, resulting in unreimbursed funds.
A spokesperson for Seeman Holtz said the company only learned of the lawsuit on Monday. “We deny any allegation of wrongdoing and believe this case to be without merit,” he wrote.
“There is no indication that Eric’s tragic death is linked in any way to this file,” he added.
The Seeman Holtz investment notes, which the firm referred to as “longevity assets”, have been described as secured by life insurance policies issued to third parties that promised to pay a “substantial premium” on the death of. the insured, according to the class action.
The notes were sold as safe and easy to cash at maturity, according to the lawsuit. But Millstein learned the company was experiencing “financial problems” and needed more time to pay back its money, which never happened, according to the class action lawsuit.
“The effects were devastating for the applicant. At 76, Fanny Millstein should not be forced to consider that her life savings and that of her husband’s invested in Seeman Holtz have disappeared, ”the lawsuit said.
Attorney Scott Silver, who represents plaintiffs in the class action lawsuit, said his team had spoken to nearly 100 investors with similar experiences. They represent over $ 100 million invested in Seeman Holtz securities, and Silver believes the actual dollar amount is much higher.
The lawsuit said the company “was unwilling or unable” to provide information on the value of the notes or assets.
The new class action lawsuit follows similar pending lawsuits filed earlier this year by Silver and other attorneys in Palm Beach County Circuit Court. Spokesman for Seeman Holtz said the company also denies the allegations in the lawsuits.
Seeman, chairman of Seeman Holtz, did not respond to direct messages seeking comment.
(Reporting by Lawrence Delevingne; Editing by Lauren Tara LaCapra and Cynthia Osterman)
Fraud Topics
Interested in fraud?
Receive automatic alerts for this topic.
[ad_2]
picture credit