Claim Alleges ‘Free Lunch’ Seminar on Variable Annuities Enticed Seniors Into Unsuitable Investment
Ft. Lauderdale, Fl., March 4 — The law firm of Securities Fraud Attorney Mark A. Tepper has filed claim against Smith Barney aka
Citigroup Global Markets, Inc. (NYSE: C) on behalf of a retired couple who lost irreplaceable capital and interest from their life savings.
The claim, filed with the Financial Industry Regulatory Authority (FINRA), alleges that a Smith Barney broker used a “free lunch” seminar to entice the seniors into purchasing an unsuitable variable annuity with high commissionsand fees, inconsistent with their financial situation and needs.
The claim contends that according to regulators, seniors are regularly victimized at such free lunch seminars. “This claim is another example that proves the rule,” it argues.
“According to Florida’s Chief Financial Officer, the number of complaints from Florida seniors about annuities has nearly quadrupled in the last three years. Her office reports it has opened 474 investigations on financial fraud involving seniors, with approximately 70 percent of cases related to annuity and life insurance transactions,” Tepper said.
The claim also alleges that the Broker misrepresented that the couple’s principal was protected by extra insurance riders he recommended.
“Smith Barney is liable for the damages caused by its Broker’s unsuitable recommendation as well as the Broker’s untrue and misleading statements,” the claim contends.
“I welcome bi-partisan legislation by Florida lawmakers that would bring harsher penalties to sellers of variable annuities who defraud their clients,” Tepper added.
About Mark A. Tepper, P.A. (www.MarkTepper.com)
A former New York Assistant Attorney General and Chief Trial Counsel at the Bureau of Investor Protection and Securities, Attorney Mark A. Tepper has also investigated and prosecuted ponzi schemes. A member of the Speaker’s Bureau of the Florida Bar, he has lectured before the North American Securities Administrators Association (NASAA) which presented him with an “Outstanding Service Award.”
Since establishing his law practice in Fort Lauderdale representing the victims of broker fraud, he addresses professional associations, local clubs and financial organizations in a continuing effort to educate the public on securities fraud. A member of the Florida, New York and California Bars, Mr. Tepper is AV(R)-rated, the highest rating of lawyers in the Martindale-Hubbell Law Directory.
MEDIA CONTACT:
Mark Hopkinson, NewsMark Public Relations
561-852-5767 mhopkinson@newsmarkpr.com