Trouble Ahead for Laidlaw and Its Principles Matthew Eitner and James Ahern Due To Lawsuit Brought by Relmada Therapeutics

Relmada Therapeutics, Inc. (RT), develops unique methods for treating chronic pain. Recently RT filed an amended complaint against Laidlaw and its two main principles, Matthew Eitner and James Ahern. RT has added legal claim that Laidlaw owes them for breach of contract by disclosing confidential information it had as the company’s banker. RT also insists that Laidlaw should reimburse them for any fees and costs arising from the lawsuit, which, if they win seems only fair.

Nevada Courts had previously issued a restraining order and associated injunction against Laidlaw, Eitner and Ahern when it was discovered these bankers had “mishandled” sensitive information. The RT Board says Laidlaw should also be held accountable for other damages incurred by their company as a result of them being its banker. RT is simply looking for a way to recover from Laidlaw’s mismanagement and make legally sure their futures interests are protected.

Relmada Therapeutics mailed a letter to their stockholders to reassure them that appropriate action was being taken and hopes for the future were bright. It’s quite shocking that a banking institution and two of its major players could be caught in such a tangled, legal mess. However, stockholders reaction to the letter was positive and they don’t appear to blame the RT Board for the actions of the Laidlaw firm and its employees, Eitner or Ahern.

Laidlaw and Company (UK) Ltd. is a full-service investment banking and brokerage firm based in New York. They work with private as well as public institutions, plus offer wealth management to many elite individuals in the United States and the United Kingdom. Banking services such as raising capital by placing equity with high end retailers, U.S. trading markets, AIM listed business in the UK market, and acquisition financing are just the beginning of what Laidlaw offers its clients.

All in all Laidlaw presents an acceptable public face. However, according to some, the one they show behind closed doors is quite another. The office atmosphere at Laidlaw has been compared to a frat house party with no rules, and that Laidlaw’s interests will always come before the clients. Granted, this info did come from “former” employees but when more than one person says the same things, if it doesn’t make you think twice, it should.

Laidlaw & Company: It’s Difficult To Find A Firm With A Worse Online Reputation

Relmada Therapeutics, a company developing new therapies for chronic pain, recently amended a lawsuit that they had filed in Nevada’s federal district court against Laidlaw & Company. Laidlaw was Relmada’s investment banker and financial advisor, and now Relmada is claiming that Laidlaw disclosed confidential information that it obtained as the company’s investment banker. A temporary restraining order was previously issued by the Nevada court against Laidlaw and Matthew Eitner and James Ahern, Laidlaw’s Chief Executive Officer and Managing Partner and Head of Capital Markets, to keep them from releasing further misleading and incorrect proxy materials. Now Relmada wants to recover damages from Laidlaw’s actions, which Remlada claims damaged the company.

Laidlaw & Company is a well-known investment and brokerage firm in London and New York that provides wealth management to clients worldwide. The firm’s legal problems, and Relmada isn’t the first, appear to stem from Laidlaw’s questionable choice of employees. From hiring brokers who resulted in their previous employer paying hefty fines for recommending unsuitable investments to hiring compliance officers who was previously fined for failing to adopt adequate compliance policies, Laidlaw’s human resources department does not appear to vet potential employees.

Laidlaw’s CEO Matthew Eitner and Managing Partner and Head of Capital Markets, James Ahern appear to, according to multiple current and previous employees reviews, claim to run a firm that caters to high net worth individuals, however, they have boilers rooms full of brokers cold calling individuals to generate sales. There are many people complaining online about unwanted calls from Laidlaw & Company where someone is pushing a “hot tip.” Employees also said they performed unnecessary trading to gain commissions. It’s hard to find a company with worse online reputation.