December 7, 1999 |
Family limited partnerships can offer significant estate tax and income tax savings to wealthy families, as well as partial protection from creditors. But these partnerships also are coming under increasing scrutiny by the IRS, tax experts say. President Clinton made an unsuccessful bid to drastically limit their use earlier this year.
January 23, 1998 |
Educators who lost their retirement savings in the 1994 collapse of Teachers Management & Investment Corp. can't blame the company or its advisors for most of the losses, a receiver said Thursday. Dennis B. Schmucker of San Diego said 20,000 teachers and administrators statewide lost more than $200 million in real estate partnerships put together by TMI. Unfortunately for them, Schmucker said, "the biggest chunk of the loss was caused by the decline in the real estate market."
August 30, 1997 |
A $4.4-million settlement of litigation between investors of Prudential Securities Inc.'s limited partnerships and sponsors of those investments won court approval. In the early 1990s, Prudential investors filed class-action suits against the securities unit of Prudential Insurance Co. of America and companies that helped the Newark, N.J.-based firm sell and run risky limited partnerships.
February 11, 1997 |
A Huntington Beach company that sold limited partnership interests in oil and gas ventures has closed its doors amid assertions that it swindled elderly investors out of more than $25 million with promises of oil wells that never existed or weren't operating. Pacific Coast Financial Securities Inc., in a notice to about 1,100 investors, blamed its demise on litigation against the firm and its owners and operators.
July 24, 1996 |
PaineWebber Settlement Gets Tentative OK: A U.S. District Court judge in New York tentatively approved a $125-million settlement for a class-action suit against PaineWebber Inc. relating to its sale of limited partnerships. The parent company, New York-based PaineWebber Group Inc., said the settlement would result in no further cost to the company because it had already taken the charges associated with the agreement. The suit represented more than 150,000 investors.
March 7, 1996 |
SEC Files Fraud Complaint Over Ostrich Investments: More than 350 people nationwide may have lost $7.45 million by investing in limited partnerships to raise and breed ostriches, the Securities and Exchange Commission said. In a complaint filed in U.S. District Court in Los Angeles, the SEC charged Trans-American Ostrich Traders Inc., Larry R. Earp and David P. Silver with fraud in the sale of 17 limited-partnership offerings between November 1993 and February 1994.