Probably the reason NATS is so cheap - I'll pass.
Tuesday May 13 12:43 PM EDT
Company Press Release
Source: Prenovost, Normandin, Bergh & Dawe; Bentley Partners
National Securities Corporation and Olympic Cascade Financial Corporation Sued for Fraud, Negligent Misrepresentation, Breach of Contract
Trust and Others Claim Damages of $4,500,000 Plus Other Monies In Requested Jury Trial
SANTA ANA, Calif., May 13 /PRNewswire/ -- Investment bank and brokerage firm National Securities Corporation and its parent, Olympic Cascade Financial Corporation (Nasdaq:NATS), have been sued on eight counts of fraud, negligent misrepresentation, breach of contract and other claims by a trust account and other entities for $4,500,000 plus punitive damages and other relief.
Plaintiffs allege National Securities Corporation and its parent engaged in a conspiracy and failed to perform pursuant to contracts requiring National to ``irrevocably purchase,'' on or before February 28, 1997, securities of a corporation in which plaintiffs owned more than 20%.
The suit, Case Number CV97-2892 ABC, was filed April 24, 1997 in the United States District Court, Central District of California by Maxal Trust (New York), Shropshire Capital Corporation (Nevada) and certain individual residents in California, Connecticut and New York.
National Securities Corporation is an underwriter and securities brokerage firm having 38 offices nationwide, including Chicago, Los Angeles, New York and Seattle. The firm reported net capital of $3,782,000 as of December 31, 1996.
Olympic Cascade Financial Corporation is headquartered in Seattle, Washington, and its corporate finance business is based at National's offices in Chicago. |
