A troubling pattern has emerged among retail investors caught in the collapse of struggling enterprises. Those who suffered devastating losses are now facing an additional barrier—many report being denied the opportunity to inject additional capital into these failing ventures.

It's a catch-22 that underscores the vulnerabilities of small investors during market turbulence. When a company teeters on insolvency, the natural instinct for some is to double down, hoping a cash injection might turn things around. Yet regulators and administrators often slam the door shut, preventing further investment. The rationale? Protecting investors from compounding losses.

But here's where it gets complicated. Investors argue they should have autonomy over their own capital. Meanwhile, authorities worry about enabling desperate decisions that could accelerate financial ruin. It's a tension that highlights the importance of risk management and due diligence before capital enters any venture—especially those already flashing warning signs.