The Square American Brokerage Company Robinhood has risen with the family of an inexperienced investor who committed suicide after he decided that he lost 730 thousand dollars. This is reported by Business Insider.
The company indicated that the claim previously filed against it was “rejected with prejudice after resolving the dispute between the parties.” Whether the RobinHood has paid the family of the deceased, and if so, then how many exactly, not specifying.
American student Alexander Kirns committed suicide in the summer of 2020. In his farewell note, he wrote: “How could you provide a credit shoulder in millions of dollars a twenty-year-old guy without any income?” Kirns engaged in trading options “Put”, he decided to commit suicide after he saw a negative balance at his account at 730 165 dollars. The lawsuit said that the student tried several times to contact RobinHood support, but received only automatic answers.
In the end, it became clear that he really should not, now his account is again available. It turned out that the student misunderstood the information about its positions on derivative financial instruments.
Later, the Kirns family accused the site in insufficient customer support and in what allowed him to trade options – a risky financial instrument – despite the lack of financial experience. Another brokerage company is accused of causing emotional stress by negligence and in unscrupulous business practice.
RobinHood General Director Vlad Shaneev apologized to the Kirsts family