Top
Puerto Rican Municipal Bonds

Vernon Litigation Group successfully helps the injured recover compensation they deserve.

Puerto Rico Municipal Bonds

Un Lobo Con Piel De Oveja

It is easy for tourists from the mainland to find much to love in San Juan: great paella at Metropol, great history in Old San Juan, great people who love their country and their heritage, etc. But other visitors travel to the island for the sole purpose of exploiting Puerto Rican investors.

These predatory “tourists” are the big banks and Wall Street profiteers who negligently or fraudulently convert investors’ conservative portfolios into a downward spiral of speculation with margin, arbitrage/carry trade activity, and over-concentration of portfolios in Puerto Rico’s own troubled bonds.

Lawyers from Vernon Litigation Group just returned from San Juan, where large numbers of investors have been lured into risky investments in Puerto Rican Municipal Bond Funds that were falsely presented as safe, conservative sources of income. This developing story is particularly disturbing because banks and brokerage firms (including UBS Financial Services Inc. of Puerto Rico, which was charged with defrauding its own customers in connection with this scheme) specifically targeted Hispanic investors, who, according to a recent study funded by FINRA, traditionally avoid high risk investments.


For detailed information, complete our online form or call us directly at (239) 319-4434 today.


These banks and brokers knew that conservative investors are drawn to municipal bonds, which have historically been considered safe, tax free sources of income. However, this analysis is not true in today’s shaky municipal bond market and it has never been true for bond funds (rather than individual municipal bonds), especially when the brokerage firms recommend that the investor use leverage to invest in these funds. This problem is compounded when the firm sells its own proprietary funds to investors creating a conflict of interest that can take down an entire portfolio when these funds begin to collapse due to falling bond prices and investor liquidations in response. When this death spiral occurs, the brokerage firm’s conflict of interest can lead to its protection of its own best interest at the clients’ expense.

Unfortunately, we have seen this scenario before. Based in Naples, Florida, the securities attorneys at the Vernon Litigation Group have conducted aggressive nationwide investigations of hedge funds, structured products, reverse convertibles, municipal bonds, bond funds, hedge funds, non-traded REITs, private equity, EB-5, complex insurance products and strategies, TICS, and various securities fraud cases and Ponzi schemes. The firm’s investigations and advocacy on behalf of investors have been featured in AARP magazine and Forbes. More recently, Vernon Litigation Group’s ongoing investigation in the above products has been reported in Barron’s.

Vernon Litigation Group’s current investigation relating to activities in Puerto Rico involves the following products, strategies, and financial firms: Proprietary funds, the use of margin, carry trade, arbitrage, Puerto Rico Bonds, Puerto Rico Preferred Stock, Reverse Convertible Securities, Puerto Rico Conservation Trust Fund Notes, Puerto Rico Global Income Target Maturity Fund, UBS, Banco Popular, Merrill Lynch, Oriental Financial, Western Bank, and Santander Securities.

Need More Details Contact Our Offices

Whether you have questions or you’re ready to get started, our legal team is ready to help. Complete our form below or call us at (239) 319-4434.

  • Please enter your first name.
  • Please enter your last name.
  • Please enter your phone number.
    This isn't a valid phone number.
  • Please enter your email address.
    This isn't a valid email address.
  • Please make a selection.
  • Please enter a message.
  • By submitting, you agree to be contacted about your request & other information using automated technology. Message frequency varies. Msg & data rates may apply. Text STOP to cancel. Acceptable Use Policy

Our Client Testimonials

  • Highly recommend Attorney Truitt and his team!

    Brittany C.
  • Highly recommend! I had a great experience with Vernon Litigation Group and was very pleased with their work and the outcome of my case.

    Ashley T.
  • "Superior service, very upfront communication, concern for our well-being seemed to be a top priority for this firm. Would highly recommend them for any legal needs."
    Rob K.
Our Wins & Happy Clients Millions of Dollars Won For Our Clients

This client-centered approach is just one of the factors that have helped us obtain multimillion-dollar verdicts and settlements for our clients.