Providence Financial Investments Inc.—Securities Fraud, Unregistered Securities Offering

Providence Financial Investments Inc. Allegedly Raised $64 Million from 420 Investors to Invest in Purportedly Unregistered Promissory Notes Used to Finance the Purchase of Accounts Receivable in Brazil

Providence Financial Investments Inc., based in Miami, allegedly raised $64 million from 420 U.S. investors to invest in unregistered promissory notes used to purportedly finance the purchase of accounts receivable in Brazil, according to a federal court filing in Minneapolis currently under review by attorneys Alan Rosca and James Booker.

The SEC has labeled the investment scheme as an “ongoing fraudulent and unregistered securities offering”, further claiming that said securities have not been registered with the SEC and brokers selling them are unregistered, according to the aforementioned filing reports.

The Peiffer Rosca Wolf securities lawyers are currently investigating Providence Financial Investments Inc. alleged unregistered securities offerings.

Providence and its Brokers Allegedly Failed to Disclose to Investors that Brokers Were Paid a 6% Commission for Selling Securities, that Providence Execs Received Nearly $9 Million in Compensation from the Firm’s U.S. Entities in Four Years

Providence and its brokers allegedly failed to disclose to investors that brokers were paid a 6 percent commission for selling said securities, and that executives from Providence purportedly received nearly $9 million in compensation from the firm’s U.S. entities over four years, according to a federal court filing in Minneapolis currently being examined by attorneys Alan Rosca and James Booker.

Furthermore, the SEC alleges that only two-thirds of investors’ money went toward Brazilian receivables and that in 2015 the firm owed investors $64 million, while in contrast their Brazilian affiliates held only $10.6 million in receivables assets.

Finally, the SEC reports that Providence execs have been “unable to answer basic questions about their organizational structure, their use of investor proceeds and their financial condition,” the SEC said.

Securities Lawyers Investigating

The Peiffer Rosca Wolf securities lawyers often represent investors who lose money as a result of participation in unregistered securities offerings and are currently investigating Providence Financial Investments Inc.’s alleged participation in unregistered securities offerings. They take most cases of this type on a contingency fee basis and advance the case costs, and only get paid for their fees and costs out of money they recover for their clients.

Investors who believe they lost money as a result of Providence Financial Investments Inc.’s alleged participation in unregistered securities offerings are encouraged to contact the securities lawyers at Peiffer Rosca Wolf, Alan Rosca and James Booker, for a free no-obligation evaluation of their recovery options, at 888-998-0520.

Alan Rosca (1225 Posts)

Alan is a securities lawyer. He also teaches Securities Regulation at the Cleveland-Marshall College of Law. He focuses his legal practice on complex commercial and financial litigation and arbitration, particularly in the areas of securities and investment fraud. His office is in Cleveland, Ohio.


In our legal system, every person is innocent until and unless found guilty by a court of law or a tribunal. Whenever we reference “allegations” or charges that are “alleged,” such allegations or charges have not been proven, and are merely accusations, not findings of fault, as of the date of the blog. We do not have, nor do we undertake, a duty to continue to monitor or follow cases about which we report, and/or to publish subsequent blogs regarding various developments that may occur in such cases. Readers are encouraged to conduct their own research regarding any such cases and any developments that may or may not have occurred in such cases.