What Did Washington Allege?

The Washington Division of Securities alleged that Klahanie Investment and Li managed a private fund called Serene Lake Capital.  Washington further alleged Serene Lake Capital Fund was overleveraged between August 2021 and May 2023, and this fund lost over 70% of its capital between August 2021 and May 2022.

After one client suffered significant losses in Serene Lake Capital, Li lent money to the customer.  Moreover, she also guaranteed an investment to this same customer.  Washington alleged that this violated securities regulations and fined Li and Klahanie Investment $25,000 regarding these violations.

Background on Li Li

Li Li worked out of an Issaquah, Washington office, while affiliated with Klahanie Investment from March 2018 to the present. 

Can I Recover My Investment Losses?

Yes—investors may have the right to pursue claims through FINRA arbitration, a legal forum designed to help recover funds lost due to broker misconduct or unsuitable investment recommendations.

Li Li may be individually liable for if her recommendations contained misrepresentations, unsuitable advice, or breaches of fiduciary duty.  Klahanie Investment may also bear responsibility.

We Represent Investors in Washington State

At Israels & Neuman, we have helped thousands of investors nationwide recover money lost to financial advisor misconduct and represent investors throughout Washington and the Pacific Northwest.  Attorney David Neuman is licensed to practice law in Washington, and we have offices in Seattle and Vancouver, Washington.  Our attorneys have extensive experience handling claims involving investment arbitration and litigation claims.

Free Case Review — Speak to a Securities Fraud Attorney Today

If you invested with Li Li or were sold  investments like Serene Lake Capital, contact Israels & Neuman at (720) 599-3505 or (206) 795-5798 for a free case evaluation.

Our attorneys are here to help you understand your rights and determine whether a claim through FINRA arbitration is right for you.