The time is ripe for financial scammers who seek to take advantage of senior investors. Recently a 76-year-old Texas insurance agent was sentenced to up to 15 years for selling fake annuities to other elderly investors. The scammer in this case just happened to be the same age as many of his elderly victims. Mr. Langford apparently stole close to $7 million from dozens of clients through the sale of phony “private annuities” and promissory notes that promised interest rates as high as 9%.
This case exemplifies the trend that occurs when the markets go haywire. Financial scam artists come out of the woodwork. According to attorney Pratt H. Davis of the securities arbitration law firm Page Perry, “with the recent extreme market volatility, senior investors looking for security are increasingly easy targets for financial scam artists.” According to Mr. Davis, “in times of financial distress investors are often lured by scam artists promoting ‘safe’ or ‘risk free’ investments that purport to offer increased returns.”
The over sixty crowd is particularly susceptible to these cons given the uncertainties about Social Security and the volatility of the stock market. Concerns about inflation are also enabling financial scammers to sell bogus “financial products” guaranteed to protect you against rising inflation.
According to Mr. Davis, “investors who believe they may have been the victim of an investment scam need to diligently contact someone who can investigate the legitimacy of the investment or practice in order to maximize their chance for any monetary recovery.” He also encourages the families of senior citizens to be vigilant in protecting their elder family members.
Page Perry is an Atlanta-based law firm with over 125 years collective experience representing investors in securities-related litigation and arbitration. While past results are not indicative of future success, Page Perry’s attorneys have recovered over $1,000,000 for clients on more than 45 occasions. Page Perry’s attorneys are actively involved in representing institutional and corporate investors in auction-rate securities cases. For further information, please contact us.