Jury Awards $19.3 Million in Investment Fraud Case

A Los Angeles Superior Court jury on Tuesday awarded $19.3 million to four elderly investors who claimed that they were defrauded by Missman-Kaplan & Associates, a Northridge investment firm.

Because more than 70 other investors are also eligible for judgments, attorneys estimated that the decision could mean $200 million for investors--most of it for emotional distress. In order to collect, plaintiffs’ attorneys said they expect to file a joint lawsuit with four defendants against the defendants’ insurance company. In a settlement during the trial, those defendants--Jody and Thomas Larman and Danielle and Thomas Bednar--agreed to put on a limited defense in exchange for the plaintiffs agreeing not to record a verdict against them.

Another plaintiff, David Missman, the owner of investment firm, represented himself in the case but did not show up for trial. Tuesday’s verdict leaves him liable for a large portion of the award.