BOCA RATON, Fla., Aug. 30, 2011 (GLOBE NEWSWIRE) -- The Securities Law Firm of Menzer & Hill, P.A. (www.suemyadvisor.com) announced today that it has filed a FINRA arbitration claim against FS2 Capital Partners, LLC ("FS2"), an affiliate of Franklin Square Capital Partners, and Franklin Square Holdings, LP, its parent, on behalf of one of its former employees related to a breach of contract claim. The statement of claim alleges that FS2 hired one of the top wholesalers in the country away from a competitor, then and only after the employee raised tens of millions of dollars for FS2 after he nearly sold out the FS Investment Corp. ("FSIC") FS2 was raising capital for, informed the employee that they were "restructuring and eliminating his position" and terminating his employment albeit without cause and just at the beginning of the offering of the FS Energy & Power Fund ("FSEP"). In effect, FS2 used a work horse to secure them millions of dollars, and then unilaterally fired the employee without paying him what he rightfully earned!
It is alleged that FS2 is attempting to circumvent their contractual obligations which could potentially cost the company in excess of a million dollars in commissions owed to their former employee.
Michael Hill, Managing Partner with the Securities Law Firm of Menzer & Hill, P.A. says, "Based on the evidence and information shared with us by the former FS2 employee, it's unconscionable that FS2 would resort to such unscrupulous means in an attempt to withhold commissions so rightfully earned by an employee that went above and beyond his duties."
"Furthermore, it is our belief that a FINRA panel will find the behavior by FS2 so egregious that it could potentially assert punitive damages against the company," says Hill.
The Securities Law Firm of Menzer & Hill, P.A. represents investors nationwide that have lost money due to the negligence of their brokers/financial advisors and the failure to supervise by their broker-dealers. The firm also represents registered representatives in claims they may have against their broker-dealer.
If you have any questions related to this press release or to discuss any other investment losses, please contact the Securities Law Firm of Menzer & Hill, P.A. at 888-923-9223, or visit us on the web at www.suemyadvisor.com.