Top investment and brokerage firm Laidlaw Company is facing charges for serious breach of the fiduciary agreement. One of the company’s clients, Relmada Therapeutics, accuses the investment firm of disseminating untrue proxy materials to gain financial advantage the expense of the therapeutics firm at its expense. The brokerage firm is also accused of defamation/business and defamation per se. At the center of the scandal are Laidlaw & Company’s two principals, Matthew Eitner and James Ahern who were responsible for releasing confidential information that led to bad publicity for Relmada. The misrepresentation of information and deliberate omissions made the Relmada’s shareholders incur losses. Now Relmada wants the court to compel the investment firm to compensate the therapeutics clinic-based firm for the losses incurred due to Laidlaw &Company’s dishonest conduct. Following the release of the proxy materials, the value of Relmada Therapeutics dropped drastically, and clients lost a significant amount of money. Unless the court compels Laidlaw to pay for this loss, Relmada claims the loss will be irreparable. Relmada is also asking the court to give a ruling preventing the investment company from causing further harm to the complainant in the future.
So far, Relmada seems on its way to victory after the U.S. District Court for the District of Nevada gave a restraining order directing Eitner and Ahern from engaging in potentially harmful practices against the complainant. Should Laidlaw & company lose, the impact could be quite disastrous to its image, which has been built over a period of almost two decades. For Relmada, the interests of the shareholders come first, and the board of directors is working tirelessly to ensure that Relmada’s image is restored and the price of shares start going up.
Laidlaw & Company is an investment company that specializes in offering personalized and practical solutions for clients looking to invest in securities. The brokerage firm is affiliated with top investment corporations including SEC and 1 Self-Regulatory Org.