Talk of The Villages Florida - View Single Post - Need help for my parents they have GWG L Bonds with Michael Whitaker and Associates
Thread: Need help for my parents they have GWG L Bonds with Michael Whitaker and Associates
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Old 03-31-2023, 10:20 PM
Pairadocs Pairadocs is offline
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Originally Posted by SallyB View Post
Last week while visiting my parents they informed us they lost close to $100,000 with their broker Michael Whitaker. They invested in a very high-risk company GWG which has filed for bankruptcy about a year ago. My parents were told this was not high-risk by Michael Whitaker and GWG at the lunch where they first meet them. Michael has sent numerous emails to my parents over the last year telling to hang in there. They purchased a product call L Bonds which had a hold time for 7 years at that time Michael told them he had close to $10 million of his clients' money in GWG so they thought it must be safe.

I decided to look into GWG and Michael and the information I have found is not promising.

The information I have found says that this "GWG Was a Classic Ponzi Scheme"-Official Committee of Bondholders of GWG Holdings, Inc. The CEO transfer from the bondholders $258 million into his new company Beneficent. It stated that GWG used new bondholder funds to pay their monthly pay outs to existing bondholders for years and they sold over $1 billion in L Bonds.

I also found that the company Michael works for New Bridge Securities is also under investigation over the GWG L Bonds.

I want my parents to call a lawyer, they are hesitant since they have been with Michael for quite some time.

So, my question is for anyone who still works Michael have to file a lawsuit or are you going too. If you did file a lawsuit, what lawyer did you use and were you happy with the results.
I'd follow the advice of the person who posted to google GWG lawsuits, apparently more than 50 going. As far a the person who sold the investment NOT being a fiduciary, attorney son tells me that might not be the deciding factor; said the laws concerning investments and "advice" is very "tricky" concerning elderly clients and (in his words) "what the law considers taking into consideration the age and financial situation of the "client", in other words, this person might have culpability even though he may only be a salesperson, not a fiduciary, depends on the circumstances. He also said a class action is probably your best bet, as it might not be large enough single case for a firm to take on. Do the research, you can find the information you need to join a class action.