Elder fraud

NASAA’s annual survey of regulators sheds light on legal proceedings against BDs, RIAs and unregistered firms that often go unnoticed in the wider industry.

Planners' fears of violating privacy stops them from taking action. If implemented, a new model act might help.

There are red flags that may be pointing to elder fraud in a client account.

Christopher Dougherty’s proferred investments allegedly included real estate properties and a 100-acre organic farm.

Frederick McDonald Jr. is accused of failing to disclose key risk factors regarding the complex world of the cannabis manufacturing industry.

A niece thought her aunt’s caretaker was stealing. How much can an advisor do?

Melvin Leonard Wimmer Jr. is said to have bilked clients out of their retirement savings.

John Gregory Schmidt allegedly devised a 14-year scheme that straddled his time with Stifel and Wells Fargo.

The Biltmore Capital fund was dissolved at an almost total loss, but not before Caleb Overton raised $2.2 million from 10 investors.

The advisor used about $410,000 to pay back investors in Ponzi-like fashion to keep the scheme alive, the regulator says.

At least 17 individuals invested $13 million in the scheme, and many lost 'substantial portions' of their life savings, prosecutors say.

The funds allegedly paid for summer camp fees and a 1976 Corvette.

Some of the proceeds went to commission a song with the lyrics: “Pop champagne in L.A., New York to Florida; buy another bottle just to spray it all over ya,” says the SEC.

The regulator obtained an emergency asset freeze against the advisor.

The advisor told the client that she could pre-pay her advisory account fees at a discount by writing him a $7,400 check, FINRA claimed.

The broker used the funds to pay his mortgage, FINRA claimed.

The fraudulent investments advertised guaranteed returns of up to 8% annually, the regulator says.

Howard Price III used the funds to make purchases at clubs, bars and restaurants, say regulators.

Dean Mustaphalli "deceived the clients that trusted him," New York Attorney General Barbara Underwood said.

Former advisor Paul Marshall's prison term "will be little solace to the dozen victims who lost their life savings due to his greed and callous concern for their well-being,” the FBI says.