Rust Rare Coin Investors Represented by Goldman Scarlato & Penny Investor Rights Lawyers File Second Class Action Lawsuit to Seek Compensation for Losses
Jan 16, 2019, 10:15 ET
SALT LAKE CITY, Jan. 16, 2019 /PRNewswire/ -- Rust Rare Coin investors represented by the securities lawyers at Goldman Scarlato & Penny, P.C. law firm and their co-counsels have filed a second class action lawsuit against Zions Bank, to seek the recovery of losses they suffered in connection with their investment in Rust Rare Coin's "Silver Pool" alleged Ponzi scheme. Investor rights attorney Alan Rosca and his colleagues have met with numerous investors and plan additional legal proceedings. They now work with nearly 200 Rust Rare Coin investors and are receiving new inquiries daily.
The second lawsuit follows a first class action case filed earlier this month, in the wake of enforcement actions by government regulators against Gaylen Rust and Rust Rare Coin alleging that Rust raised almost $200 million from investors based on false statements that the money would go into a "Silver Pool" to trade physical silver. In reality, Rust was not trading silver but instead was using much of the new investor money to pay prior investors. The regulators shut down the scheme and asked a Court-appointed Receiver to unwind Rust's affairs.
The second class action lawsuit filed by the Goldman Scarlato & Penny lawyers and their co-counsels seeks to recover losses suffered by investors in the Silver Pool. According to the lawsuit, Zions Bank had a close relationship with Rust and his business, understood Rust's financial affairs, and knew that Rust was accepting investor money in the Silver Pool Investment Account at Zions Bank. The lawsuit alleges that Zions Bank provided crucial assistance to Rust's scheme and failed to stop the scheme even after discovering that investor money held in accounts at Zions Bank was being used for Ponzi payments and misappropriated.
What Rust Rare Coin Investors May Do
Rust Rare Coin investors may have options to seek recovery of their losses. If you invested in Rust's Silver Pool, you should contact attorneys Alan Rosca, Paul Scarlato, or Douglas Bench to learn more about your loss recovery options or provide any useful information, toll free at 888-998-0530, or via email at rosca@lawgsp.com. Also, visit www.rustrarecoinsinvestigation.com for more information about the Rust Rare Coin matter and a copy of the complaint.
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SOURCE Goldman Scarlato & Penny, P.C.