Signature Bank Sued Over Connection to Ponzi Scheme

Posted on May 16th, 2016 at 11:52 AM
Signature Bank Sued Over Connection to Ponzi Scheme

From the Desk of Jim Eccleston at Eccleston Law LLC:

Signature Bank has become one of the largest American banks, with $33 billion in assets. However, a Ponzi scheme that lost $66 million of investor money and sent a money manager to federal prison recently tarnished the banks image.

In a lawsuit in Florida state court, investors are accusing Signature of helping a money manager named William Landberg orchestrate and perpetrate a Ponzi scheme. The money manager was able to shift money around the dozens of accounts he maintained at the bank in order to cover long-term overdrafts. Landberg has completed his sentence after pleading guilty in 2011. However, investors claim they still have not received any financial restitution.

It is alleged that, “Signature knew Landberg was operating a house of cards and knew returning checks on overdrawn accounts would make it collapse. Signature should have stopped the crime but instead perpetrated it.” Signature Bank has denied the allegations and claimed that it too was victimized.  Nonetheless, the bank will have to grapple with the many banking rules and regulations that obligate it to be on guard.

The attorneys of Eccleston Law LLC represent investors and advisers nationwide in securities and employment matters. Our attorneys draw on a combined experience of nearly 65 years in delivering the highest quality legal services. If you are in need of legal services, contact us to schedule a one-on-one consultation today.

Related Attorneys: James J. Eccleston

Tags: Eccleston, Eccleston Law, Eccleston Law LLC, James Eccleston

Additional Photos

Signature Bank Sued Over Connection to Ponzi Scheme
Signature Bank Sued Over Connection to Ponzi Scheme
 

Return to Archive

TESTIMONIALS

Previous
Next

We just wanted to say thanks for your work in helping us get back some of the money we lost. We are not by any means rich, but we have saved some money and we have done so through a tight-fisted approach to most everything we do. So losing a significant chunk of money hurt…especially at a time when everyone else was growing their accounts. We really appreciate the work you did.

Allan and Adele

LATEST NEWS AND ARTICLES

March 14, 2025
Apex Clearing to Pay $3.2 Million in FINRA Settlement Over Securities Lending Violations

Apex Clearing, the clearing arm of Apex Fintech Solutions, has agreed to pay $3.2 million to settle FINRA allegations that it failed to ensure customers received compensation for lending their securities.

March 13, 2025
Congress Considers Expanding the Accredited Investor Definition

A recent congressional hearing examined potential reforms to the accredited investor definition, a critical threshold determining who can participate in private market investments.

March 12, 2025
GPB Capital Investors May Receive Some Compensation Under Proposed Distribution Plan

GPB Capital Holdings investors have not received returns on their investments since 2018. According to InvestmentNews, after years of litigation, a court-appointed receiver has submitted a plan to return funds to the 17,000 investors who purchased $1.8 billion in GPB limited partnerships.