Need help for my parents they have GWG L Bonds with Michael Whitaker and Associates

[Gpsma]

Safeguard our elderly? So you stereotype elderly as unable to make informed financial decisions?

Perhaps you should have said…safeguard our gullible and greedy!

[MDFlyer]

Safeguard our elderly? So you stereotype elderly as unable to make informed financial decisions?

Perhaps you should have said…safeguard our gullible and greedy!
No, HappyDaz was correct. Safeguard our Elderly is the correct term since this whole thread is about how Michael L Whitaker and Associates and other less-than-trustful brokers took advantage of their trust in the financial advice they received from people who were once trustworthy but fell to not acting as a fiduciary to their clients for high commissions and fees.

[Happydaz]

Safeguard our elderly? So you stereotype elderly as unable to make informed financial decisions?

Perhaps you should have said…safeguard our gullible and greedy!

The SEC has launched a number of investigations into these types of programs and selling strategies. They may do so again if it comes to their attention. Over the years major newspapers have also attended and reported on these “free lunch programs.” They have reported that the target audience for these programs is people over 65. Some elderly can be taken advantage of. Your words of “gullible” and “greedy” are demeaning to our senior citizens.

[MDFlyer]

From SEC

Dear Jesse Hadaway: (I am only leaving my name in this response because Mr. Whitaker has already outed me in a prior post)

This is to confirm receipt of your complaint dated against Newbridge Securities Corp.. We have forwarded your complaint to the firm’s compliance department and asked that it respond directly to you, with a copy to our office. Please allow two to three weeks for this process to take place.

Our efforts to facilitate informal resolutions of complaints frequently succeed. In some cases, however, a firm may deny wrongdoing or it may remain unclear whether any wrongdoing occurred. If that happens, we cannot act as your personal representative or attorney. Instead, it will be for you to decide whether to pursue legal action on your own. Enclosed is information on steps you may wish to consider including arbitration and mediation, and sources of potential legal assistance. Please read these documents carefully. They describe your rights and important deadlines.

If you have any questions, please contact me.

Sincerely,

Amy Rosenthal
Investor Assistance Specialist
Office of Investor Education and Advocacy
U.S. Securities and Exchange Commission
(800) 732-0330
SEC.gov | HOME (http://www.sec.gov)
Home | Investor.gov (http://www.investor.gov)
www.twitter.com/SEC_Investor_Ed

----------------------------------------------------------------------------------------------
STEPS FOR PURSUING A COMPLAINT

Know your legal rights

You should know your legal rights and be prepared to take action on your own, even while waiting for the firm’s response. Federal and state securities laws allow you to start legal proceedings against those who may be engaged in wrongdoing. If you believe the firm’s response is inaccurate or incomplete, consider writing a second letter to the firm, laying out the problems with the firm’s response and including copies of documents that support your views.

Act promptly

Time restrictions, called “statutes of limitations,” require you to begin legal action promptly. For example, the federal securities laws require you to bring action within two years of the date you reasonably should have discovered the wrongdoing, but no later than five years from the date it occurred. If you sue any later, you may lose the right to recover. Limitations vary from state to state and may differ depending on whether you claim a violation of state law or federal law.

Use arbitration, if agreed to

When you opened your brokerage account, you probably agreed to use arbitration (and only arbitration) to settle all disputes with your broker or the firm. But even if you did not, you may choose to use arbitration to settle disputes. If you use arbitration, arbitrators will apply either a federal or state statute of limitations, depending on the nature of your claim. You generally cannot pursue an issue through arbitration if it is more than six years old. For older cases, you will probably want to consult with an attorney. When deciding whether to arbitrate — or, if it is a choice, to sue in court — bear in mind that if your broker or brokerage firm goes out of business or declares bankruptcy, you might not be able to recover your money — even if the arbitrator or court rules in your favor.

Learn about low-cost arbitration

If you use Financial Industry Regulatory Authority and your claim is $50,000 or less, you generally will not have to appear in person at a hearing and an arbitrator will make a decision on your case by reviewing documents and written descriptions of what happened from you and your broker. You should carefully review the rules governing simplified arbitration before filing a claim. To obtain information about arbitration procedures, please go to: A vibrant market is at its best when it works for everyone. | FINRA.org (http://www.finra.org/). Again, you should weigh the costs of arbitrating against the likelihood of being able to collect any award, especially if the brokerage firm has left the industry or gone bankrupt. Firms that stay in business typically pay the arbitration awards levied against them, but defunct firms may not.

Consider Mediation

Mediation is also an option you should consider before going to arbitration. Mediation allows you to save time and money because it is quicker than arbitration and voluntary. If you can’t reach an agreement through mediation, you can still go to arbitration. To learn about mediation, please go to: A vibrant market is at its best when it works for everyone. | FINRA.org (http://www.finra.org/).


----------------------------------------------------------------------------------------------
Correspondent Name: Mr. Jesse Hadaway
Create Date: 4/15/2023
Origin: Web
File #: HO::~01298510~::HO

Send to Entity: Yes

Investor Information

Name: Jesse G Hadaway

Address:

Day Phone:
Alt Phone:
Fax:
Email:

Entity Information
Name: Michael L Whitaker And Associates
Type: Investment Advisor/Financial Planner
Representative: Michael L Whitaker (Newbridge Corporation
Address: 3251 Wedgewood LN

The Villages, FLORIDA 32162-7179

Security Information
Name:
Symbol:
Type:

Description:
First off I am 80 years old and have been dealing with Michael L Whitaker and Associates for several years. My wife is 72 years old and also has been dealing with Michael L Whitaker and Associates for several year. When we first went to Michael L Whitaker to be our financial advisor we stated, in no mistakable words, that we did not want to be in any investments that were risky due to our ages and net worth. Michael L Whitaker assured us that he was a Fiducary and would always look out for our interest. We did purchase several annuities from his agency, through Connie Cruz, and he suggested several other, what he described as low risk, stocks and companies to invest in. For a few years everything appeared to go as we expected and then Michael L Whitaker started suggesting other stocks and investments that he recommended and were low risk. These turned out to be high risk, yet Mr. Whitaker kept saying that they were not. We lost over $100,000 in short order. He even put us in GWG, a now bankrupt company, after we voiced concern, he kept encouraging us to stay with them even after they missed two mandatory reporting quarter. He assure us they still had plenty of money and that we would get back all of our investment when they completed the bankruptcy filling. GWG now is looking more like a Ponzi scheme and was never suitable for clients in our age range and financial state. Michael L Whitaker and Associates is failing to live up to his obligations and duties to clients and continues to deny putting us in risky investments. Mr. Whitaker also denies acting as a fiduciary. My son who invested about $20,000 with Michael L Whitaker, also told low risk, did well until Michael put his investment in a very high-risk stock. This was done even after my son told him to contact me before moving anything. He did not follow orders.

[MDFlyer]

From SEC

Dear Jesse Hadaway: (I am only leaving my name in this response because Mr. Whitaker has already outed me in a prior post)

This is to confirm receipt of your complaint dated against Newbridge Securities Corp.. We have forwarded your complaint to the firm’s compliance department and asked that it respond directly to you, with a copy to our office. Please allow two to three weeks for this process to take place.

Our efforts to facilitate informal resolutions of complaints frequently succeed. In some cases, however, a firm may deny wrongdoing or it may remain unclear whether any wrongdoing occurred. If that happens, we cannot act as your personal representative or attorney. Instead, it will be for you to decide whether to pursue legal action on your own. Enclosed is information on steps you may wish to consider including arbitration and mediation, and sources of potential legal assistance. Please read these documents carefully. They describe your rights and important deadlines.

If you have any questions, please contact me.

Sincerely,

Amy Rosenthal
Investor Assistance Specialist
Office of Investor Education and Advocacy
U.S. Securities and Exchange Commission
(800) 732-0330
SEC.gov | HOME (http://www.sec.gov)
Home | Investor.gov (http://www.investor.gov)
www.twitter.com/SEC_Investor_Ed

----------------------------------------------------------------------------------------------
STEPS FOR PURSUING A COMPLAINT

Know your legal rights

You should know your legal rights and be prepared to take action on your own, even while waiting for the firm’s response. Federal and state securities laws allow you to start legal proceedings against those who may be engaged in wrongdoing. If you believe the firm’s response is inaccurate or incomplete, consider writing a second letter to the firm, laying out the problems with the firm’s response and including copies of documents that support your views.

Act promptly

Time restrictions, called “statutes of limitations,” require you to begin legal action promptly. For example, the federal securities laws require you to bring action within two years of the date you reasonably should have discovered the wrongdoing, but no later than five years from the date it occurred. If you sue any later, you may lose the right to recover. Limitations vary from state to state and may differ depending on whether you claim a violation of state law or federal law.

Use arbitration, if agreed to

When you opened your brokerage account, you probably agreed to use arbitration (and only arbitration) to settle all disputes with your broker or the firm. But even if you did not, you may choose to use arbitration to settle disputes. If you use arbitration, arbitrators will apply either a federal or state statute of limitations, depending on the nature of your claim. You generally cannot pursue an issue through arbitration if it is more than six years old. For older cases, you will probably want to consult with an attorney. When deciding whether to arbitrate — or, if it is a choice, to sue in court — bear in mind that if your broker or brokerage firm goes out of business or declares bankruptcy, you might not be able to recover your money — even if the arbitrator or court rules in your favor.

Learn about low-cost arbitration

If you use Financial Industry Regulatory Authority and your claim is $50,000 or less, you generally will not have to appear in person at a hearing and an arbitrator will make a decision on your case by reviewing documents and written descriptions of what happened from you and your broker. You should carefully review the rules governing simplified arbitration before filing a claim. To obtain information about arbitration procedures, please go to: A vibrant market is at its best when it works for everyone. | FINRA.org (http://www.finra.org/). Again, you should weigh the costs of arbitrating against the likelihood of being able to collect any award, especially if the brokerage firm has left the industry or gone bankrupt. Firms that stay in business typically pay the arbitration awards levied against them, but defunct firms may not.

Consider Mediation

Mediation is also an option you should consider before going to arbitration. Mediation allows you to save time and money because it is quicker than arbitration and voluntary. If you can’t reach an agreement through mediation, you can still go to arbitration. To learn about mediation, please go to: A vibrant market is at its best when it works for everyone. | FINRA.org (http://www.finra.org/).


----------------------------------------------------------------------------------------------
Correspondent Name: Mr. Jesse Hadaway
Create Date: 4/15/2023
Origin: Web
File #: HO::~01298510~::HO

Send to Entity: Yes

Investor Information

Name: Jesse G Hadaway

Address:

Day Phone:
Alt Phone:
Fax:
Email:

Entity Information
Name: Michael L Whitaker And Associates
Type: Investment Advisor/Financial Planner
Representative: Michael L Whitaker (Newbridge Corporation
Address: 3251 Wedgewood LN

The Villages, FLORIDA 32162-7179

Security Information
Name:
Symbol:
Type:

Description:
First off I am 80 years old and have been dealing with Michael L Whitaker and Associates for several years. My wife is 72 years old and also has been dealing with Michael L Whitaker and Associates for several year. When we first went to Michael L Whitaker to be our financial advisor we stated, in no mistakable words, that we did not want to be in any investments that were risky due to our ages and net worth. Michael L Whitaker assured us that he was a Fiducary and would always look out for our interest. We did purchase several annuities from his agency, through Connie Cruz, and he suggested several other, what he described as low risk, stocks and companies to invest in. For a few years everything appeared to go as we expected and then Michael L Whitaker started suggesting other stocks and investments that he recommended and were low risk. These turned out to be high risk, yet Mr. Whitaker kept saying that they were not. We lost over $100,000 in short order. He even put us in GWG, a now bankrupt company, after we voiced concern, he kept encouraging us to stay with them even after they missed two mandatory reporting quarter. He assure us they still had plenty of money and that we would get back all of our investment when they completed the bankruptcy filling. GWG now is looking more like a Ponzi scheme and was never suitable for clients in our age range and financial state. Michael L Whitaker and Associates is failing to live up to his obligations and duties to clients and continues to deny putting us in risky investments. Mr. Whitaker also denies acting as a fiduciary. My son who invested about $20,000 with Michael L Whitaker, also told low risk, did well until Michael put his investment in a very high-risk stock. This was done even after my son told him to contact me before moving anything. He did not follow orders.
Back from my heart operation and ready to resume my quest for justice from Michael L Whitaker and Associates. If you are in your 70s or 80s and were sold high-risk investments by this company and your instructions to them were you did not want to be in any high-risk investments you should file complaints and voice your concerns to the proper authorities.

[ChrisTee]

Back from my heart operation and ready to resume my quest for justice from Michael L Whitaker and Associates. If you are in your 70s or 80s and were sold high-risk investments by this company and your instructions to them were you did not want to be in any high-risk investments you should file complaints and voice your concerns to the proper authorities.

Best wishes for a full recovery Jesse. I truly appreciate that you've chosen to share your story with us. :BigApplause: It's a cautionary tale and I believe you may help others to avoid losing their money. Posters here are spot on when they suggest VANGUARD and FIDELITY - index funds, US treasuries and CDs. These are often very good choices for retirees. Vanguard and Fidelity are super low cost and respected. Wishing you, your wife and all who've lost $ satisfaction going forward.

[Carla B]

Just got a flyer in the mail from Whitaker & Assocs. hosting an "informative Meeting" at Lopez Legacy. One of the topics he will speak about, "Balancing Risk & Return." Seems ironic, given the OP's and your sad tales.

[Gpsma]

Just got a flyer in the mail from Whitaker & Assocs. hosting an "informative Meeting" at Lopez Legacy. One of the topics he will speak about, "Balancing Risk & Return." Seems ironic, given the OP's and your sad tales.

I got one a couple of weeks ago. I wasnt interested….but now I am. Id love to go and ask Mr Whittaker about whats here on this thread.

Will he ignore me….or will he defend himself?

The real question…does he really need to defend himself? He may have so many happy clints here and he views this thread on TOTV as just a few disgruntled clients. And to be honest…i only see a few people on this thread complaining.

[tikigal]

UPDATE: Here is what is happening in the courts

GWG Bankruptcy Update (April 17, 2023): Liquidation Options Become Clearer as Recovery for Bondholders Remain Uncertain — Securities Arbitration Lawyer Blog — April 17, 2023 (https://www.iorioaltamirano.com/blog/gwg-bankruptcy-update-april-17-2023-liquidation-options-become-clearer-as-recovery-for-bondholders-remain-uncertain/)

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 don't know what to do either I am with a new firm, as I watched my money tumble with New Bridge Securities while the stock market climbed. He literally kicked me under the bus. I would love to know what you are doing about it, is there a lawsuit, not classaction, we won't get any money, that we can collect. He lives in a gorgeous house out in Ocala, where the LPGA played events.

[tikigal]

I don't know how to do that, I am having so much difficulty with a pool company, Sparkling Waters Pool Construction, a break in, and this. I feel like I am prey for everyone. I could use a helping hand. If someone would help me, I would be so appreciative.

[tikigal]

What is HALAL?

[Gpsma]

What is HALAL?

Lol..halal is the muslim equivlent of Jewish Kosher.

Im neither muslim nor jewish.

If you do a search on halal chicken…u will find how my tag began

Its nyc street food

[tikigal]

Plus Whitaker got big payouts from GWG for getting clients.

[Normal]

Plus Whitaker got big payouts from GWG for getting clients.

.5% up to 6% for 6 month up to 7 year holds. Minimum investments were 25,000. A 100,000 dollar investment lined his pockets with 6 thousand dollars.

All the monies invested will eventually payout, but it may be a while. There isn’t any liquidity in the company and the life insurance policies they hold can’t be cashed until the original policy holders have passed. Besides, the 300 million plus in bills the company has to pay to the lending institutions that propped it up must be paid first. It will definitely be a long haul; not the 6 years time frame facade sold to investing retirees.

[SallyB]

I don't know what to do either I am with a new firm, as I watched my money tumble with New Bridge Securities while the stock market climbed. He literally kicked me under the bus. I would love to know what you are doing about it, is there a lawsuit, not classaction, we won't get any money, that we can collect. He lives in a gorgeous house out in Ocala, where the LPGA played events.
You can call SEC or FINRA
If it is about GWG you can look online there are lawyers that have been investigating GWG.

[MDFlyer]

I don't know what to do either I am with a new firm, as I watched my money tumble with New Bridge Securities while the stock market climbed. He literally kicked me under the bus. I would love to know what you are doing about it, is there a lawsuit, not classaction, we won't get any money, that we can collect. He lives in a gorgeous house out in Ocala, where the LPGA played events.
I believe that this was Michael L Whitaker's problem. His income did not keep up with his lifestyle when he delivered fiduciary service to his clients. He needed more in commissions than the low risk investments were providing so he started putting clients, that were in the low risk categories, into high risk investments for the higher commissions.

[MDFlyer]

I got one a couple of weeks ago. I wasnt interested….but now I am. Id love to go and ask Mr Whittaker about whats here on this thread.

Will he ignore me….or will he defend himself?

The real question…does he really need to defend himself? He may have so many happy clints here and he views this thread on TOTV as just a few disgruntled clients. And to be honest…i only see a few people on this thread complaining.
Funny, I did not get an invitation to this event. There must be a legal way to find out his client list of clients that bought GWG L Bonds. With this information, we could inform people of the truth of what Michael L Whitaker and Associates did and are probably still doing. They kept us "advised" of the progress of the missed filings, bankruptcy, of GWG's ability to pay us back when they came out of bankruptcy. All lies, especially the information about keeping the investment in GWG when he knew, or should have known, that when a company misses two mandatory reporting quarters it is a sign to bail out. The big question is when did Michael L Whitaker, family members, and close friends get out of GWG?

[Gpsma]

My questions on this thread still go unanswered. When people retired to TV….cashed out their company run, and advised 401ks, or had personal investments that could have been advised. Why would you go to a small local place. Its your retirement savings, go to the big guys…they will follow what you want.

Again…who would go to a small shop?….because he promised you the world and fed you a chicken sandwich.

MD…you said you went to him because others here said he was good….were these recommendations from astute investors?

[Plinker]

My questions on this thread still go unanswered. When people retired to TV….cashed out their company run, and advised 401ks, or had personal investments that could have been advised. Why would you go to a small local place. Its your retirement savings, go to the big guys…they will follow what you want.

Again…who would go to a small shop?….because he promised you the world and fed you a chicken sandwich.

MD…you said you went to him because others here said he was good….were these recommendations from astute investors?


I am confident that only a very small percentage of seniors would be considered “astute investors”. Instead, they are well versed in teaching, engineering, medicine, etc, etc. Investing is not in their wheelhouse.

During the asset accumulation phase of our lives, the contributions most employees made were managed by the employer and their chosen fiduciary. Then, upon retiring, seniors were inundated with offers (free dinners) to rollover their 401k, 403b and similar accounts to a local micro-asset advisor.

Choosing a financial advisor with fiduciary credentials, years of experience and a friends’ recommendation is not enough. How many seniors know what a form ADV is and that a FINRA website exists? How many know about the disclosure page? How many posts on this site have exposed scams that these parasites have perpetrated on trusting seniors? It goes far beyond unscrupulous financial advisors. However, it likely has the largest impact on the well-being of one’s financial future in retirement.

We will always need help to accomplish tasks beyond our area of expertise. Weeding out the grifters is no easy task. The key is to educate seniors that they will be far better off with the giants of the financial services industry such as Vanguard and Fidelity. I’m not sure how to accomplish this on a large scale. Holding these charlatans accountable by filing complaints and spreading the word is a good start.

[MDFlyer]

I am confident that only a very small percentage of seniors would be considered “astute investors”. Instead, they are well versed in teaching, engineering, medicine, etc, etc. Investing is not in their wheelhouse.

During the asset accumulation phase of our lives, the contributions most employees made were managed by the employer and their chosen fiduciary. Then, upon retiring, seniors were inundated with offers (free dinners) to rollover their 401k, 403b and similar accounts to a local micro-asset advisor.

Choosing a financial advisor with fiduciary credentials, years of experience and a friends’ recommendation is not enough. How many seniors know what a form ADV is and that a FINRA website exists? How many know about the disclosure page? How many posts on this site have exposed scams that these parasites have perpetrated on trusting seniors? It goes far beyond unscrupulous financial advisors. However, it likely has the largest impact on the well-being of one’s financial future in retirement.

We will always need help to accomplish tasks beyond our area of expertise. Weeding out the grifters is no easy task. The key is to educate seniors that they will be far better off with the giants of the financial services industry such as Vanguard and Fidelity. I’m not sure how to accomplish this on a large scale. Holding these charlatans accountable by filing complaints and spreading the word is a good start.
I just received a 27-page plus several pages of exhibits response from Michael L Whitaker and Associates attorney that was filed with FINRA. It is filled with outright lies, excuses, and references to other cases. One such is his claim that he never was a fiduciary. This is certainly not what he told his clients. He continues to lie in every area.

[MDFlyer]

I hear Michael L Whitaker and Associates is still giving rubber chicken dinners to entice new "clients" to his firm. Oh, I guess I miss spoke they are "Informational Seminars" not rubber chicken dinners.

[SallyB]

I hear Michael L Whitaker and Associates is still giving rubber chicken dinners to entice new "clients" to his firm. Oh, I guess I miss spoke they are "Informational Seminars" not rubber chicken dinners.
My guess he will never stop them as all as he is still in business.
I hope all is well with you. You stated that you had surgery I hope you are healing fast.

[SallyB]

July 2023 Update: Looks like if my parents get anything back it will take serval years because GWG and BENE which is their largest asset is in downward financial spin. What I have found out you have 6 years to make a FINRA arbitration against your Broker.
Please read.
GWG Bankruptcy Update (July 14, 2023): The Residual Value of the GWG L Bonds Remain Suspect as Beneficient Receives a Wells Notice from the SEC — Securities Arbitration Lawyer Blog — July 14, 2023

[SallyB]

GWG L Bonders holders there is another hiccup in there pay back plan. As you remember GWG Chairman Bradley Heppner moved over $360 million of L Bond Holder fund to Beneficient Company Group. The company Beneficient was supposed to be a big part of paying the L Bond Holders back.
Here's the bad news BENE went from its top value at $16.50 in 2021 a share to today value of $2.40 a share the company is now valued at $70 million. GWG total debt is $1.3 billion to L Bond Holders and $70 million to other debtors.
Now how will GWG pay back L Bonds did Heppner ever plan on paying the Bold Holders. He now is trying a crack at his new company AltAccess.
With the stock at all time low I just can see a return of funds to GWG L Bonds Holders anytime soon if ever.
Remember you only have 6 six years from the time you bought your L Bonds to submit a complaint to FINRA.

[BlueStarAirlines]

Big article on GWG in today's WSJ (7/29). Front page and most of page 10....

Very interesting read......

[SallyB]

Big article on GWG in today's WSJ (7/29). Front page and most of page 10....

Very interesting read......
Thank you, unfortunately I can't find the article. Are you able to post it.

[MDFlyer]

GWG L Bonders holders there is another hiccup in there pay back plan. As you remember GWG Chairman Bradley Heppner moved over $360 million of L Bond Holder fund to Beneficient Company Group. The company Beneficient was supposed to be a big part of paying the L Bond Holders back.
Here's the bad news BENE went from its top value at $16.50 in 2021 a share to today value of $2.40 a share the company is now valued at $70 million. GWG total debt is $1.3 billion to L Bond Holders and $70 million to other debtors.
Now how will GWG pay back L Bonds did Heppner ever plan on paying the Bold Holders. He now is trying a crack at his new company AltAccess.
With the stock at all time low I just can see a return of funds to GWG L Bonds Holders anytime soon if ever.
Remember you only have 6 six years from the time you bought your L Bonds to submit a complaint to FINRA.
I filed my FINRA complaint in April. Everyone should file and maybe we can help each other by showing FINRA arbitrators that there are many of us that have been lied to, lied about, and cheated by Michael L Whitaker, and Michael L Whitaker and Associates.

[SallyB]

I filed my FINRA complaint in April. Everyone should file and maybe we can help each other by showing FINRA arbitrators that there are many of us that have been lied to, lied about, and cheated by Michael L Whitaker, and Michael L Whitaker and Associates.
Did you read the Wall Street Journal article on GWG I have not been able to find it

[Normal]

Did you read the Wall Street Journal article on GWG I have not been able to find it

MSM has a similar article

GWG Bankruptcy Update (July 14, 2023): The Residual Value of the GWG L Bonds Remain Suspect as Beneficient Receives a Wells Notice from the SEC — Securities Arbitration Lawyer Blog — July 14, 2023 (https://www.iorioaltamirano.com/blog/gwg-bankruptcy-update-july-14-2023-the-residual-value-of-the-gwg-l-bonds-remain-suspect-as-beneficient-receives-a-wells-notice-from-the-sec/#:~:text=GWG%20has%20disclosed%20that%20they%20are %20targeting%20July,Wind%20Down%20Trust%20and%20%2 8ii%29%20the%20Litigation%20Trust).

Basically Beneficient is off the hook for its bailout attempt and GWG must liquidate?

[SallyB]

Big article on GWG in today's WSJ (7/29). Front page and most of page 10....

Very interesting read......
An Asset-Management Merger Ended in Bankruptcy, While Its Architect Got $174 Million - WSJ (https://www.wsj.com/articles/an-asset-management-merger-ended-in-bankruptcy-while-its-architect-got-174-million-11659103557?st=9k2aj0kiy9sctgh&reflink=share_mobilewebshare)

If you were sold L Bonds you should read this. This is the guy that GWG and BENF is trusting to pay all the bond holders back. Read this and see if you believe you still have a chance of any recovery.

FYI BENF is now at $1.70 a share, seems that the company that was here to save the bond holders is circling the drain.

[SallyB]

Another one of Michael Whitaker safe investments Gladstone takes a big loss. Gladstone went public and there was an immediate loss of approximately 25%. How many millions of millions of dollars have you lost Michael in all these safe investments? It's so shameful.

[MDFlyer]

July 2023 Update: Looks like if my parents get anything back it will take serval years because GWG and BENE which is their largest asset is in a downward financial spin. What I have found out you have 6 years to make a FINRA arbitration against your Broker.
Please read.
GWG Bankruptcy Update (July 14, 2023): The Residual Value of the GWG L Bonds Remain Suspect as Beneficient Receives a Wells Notice from the SEC — Securities Arbitration Lawyer Blog — July 14, 2023

You should file with FINRA as soon as possible. I started mine back in April and because I asked for expedited handling, which was approved due to age, It is still not scheduled for a hearing. I do expect this to change soon since the arbitrator has been assigned and there is nothing else that needed to happen before the hearing.

[SallyB]

MSM has a similar article

GWG Bankruptcy Update (July 14, 2023): The Residual Value of the GWG L Bonds Remain Suspect as Beneficient Receives a Wells Notice from the SEC — Securities Arbitration Lawyer Blog — July 14, 2023 (https://www.iorioaltamirano.com/blog/gwg-bankruptcy-update-july-14-2023-the-residual-value-of-the-gwg-l-bonds-remain-suspect-as-beneficient-receives-a-wells-notice-from-the-sec/#:~:text=GWG%20has%20disclosed%20that%20they%20are %20targeting%20July,Wind%20Down%20Trust%20and%20%2 8ii%29%20the%20Litigation%20Trust).

Basically Beneficient is off the hook for its bailout attempt and GWG must liquidate?
GWG does not have enough to pay off the bond holders. The life policies they still have left doesn't cover half of what they owe. If the bond holders get one-fourth back, I would be surprised.
What a mess, the chairman of GWG Bradley Heppner is a piece of work.

[Plinker]

It’s really sad to hear people who placed their personal trust and retirement assets with these self-serving predators will likely lose most, if not all, of their investment in these risky bonds.
Michael Whitaker and others should be ordered to divest all of the compensation they received on the sale of these highly risky bonds.
Mr. Whitaker now has his 5th disclosure on his form ADV form which will follow him forever. Unfortunately, I suspect few of his victims know to review this online.

[SallyB]

So how does this work GWG is suing Beneficent when they are run by the same people??????

What are GWG’s Assets?

GWG has only four primary assets: (1) its portfolio of life insurance policies; (2) equity interest in FOXO, (3) equity interest in Beneficient; and (4) potential legal actions against third parties, primarily Beneficent.

The Wind Down Trust will hold the portfolio of life insurance policies and the company’s equity interests in FOXO and Beneficent and make efforts to monetize those assets over time. The sale of these assets may take several years, and the amount that GWG will recover remains uncertain.

According to GWG’s analysis in the bankruptcy proceedings, the projected net residual value from the sale of the life insurance policies is projected to be $0 to $78 million, and the equity interest in FOXO is nominal, $3.3 million.

With over $1.3 billion owed to L Bondholders, for the L Bonds (now New Series A1 WDT Interests) to have any significant residual value, GWG must monetize its equity interest in Beneficient or its legal claims against third parties.

How and when GWG will be able to monetize its equity interest in Beneficient remains uncertain and speculative.

Since going public on June 8, 2023, and opening at $15 on the first day the new BENF traded, the stock price has plummeted to under $2 per share.

To read more about the residual value of the L Bonds, please see our blog post from mid-July: GWG Bankruptcy Update (July 14, 2023): The Residual Value of the GWG L Bonds Remain Suspect as Beneficient Receives a Wells Notice from the SEC.

We continue to believe that GWG L Bonds investors’ best avenue for potential recovery of losses is to file a separate FINRA arbitration claim against their brokerage firms. If you would like more information about how to file a claim, please respond to this email to schedule a free and confidential consultation.

To read more about the alleged misconduct, please visit our other blog posts:

What L Bondholders Need to Know About GWG Holdings, Inc.’s Chapter 11 Plan

Broker-Dealers Sold GWG L Bonds Using Aggressive and Misleading Marketing

“GWG Was a Classic Ponzi Scheme” – Official Committee of Bondholders of GWG Holdings, Inc.

[SallyB]

QUESTION: Has anyone received payment of any kind from GWG?????? Like Michael has promised.

[Carla B]

Just received another invitation from him to attend one of his "informative" dinner meetings at Lopez Legacy in October, on the 3rd or the 9th.

[Toymeister]

Just received another invitation from him to attend one of his "informative" dinner meetings at Lopez Legacy in October, on the 3rd or the 9th.

I think that you should go and report back if he states that he is a fiduciary.

[Normal]

I think that you should go and report back if he states that he is a fiduciary.

I think he turned 90 just recently? At what point should he even be doing this line of work anymore?

[Bilyclub]

I think he turned 90 just recently? At what point should he even be doing this line of work anymore?

The son and brother are the front men now.

Also the online rag says a different TV dinner "advisor" just got locked up.

[Gpsma]

This never ending thread..ok, let it go on

Still dont get it that educated, intelligent people here fall for an “investment advisor” who is small and located in the villages.

Why?…dont know. So many people here use the major firms…fidelity, schwab, etc.

My guess…those that got scammed….greed got them…

[BlueStarAirlines]

Still dont get it that educated, intelligent people here fall for an “investment advisor” who is small and located in the villages.

Why?…dont know. So many people here use the major firms…fidelity, schwab, etc.

My guess…those that got scammed….greed got them…

I don't think that is it. I think a lot of people want the personal touch that a small time local advisor can offer. Unfortunately, that sometimes equates to less oversight or the advisor taking liberties that wouldn't be tolerated at a larger firm.

Just my opinion, but if one is paying AUM (assets under management) or any brokerage\commissions you have the potential to be taken advantage of. There are many flat-fee fiduciary advisors that will guide without being tempted by commissions and churning accounts.

[Keefelane66]

The son and brother are the front men now.

Also the online rag says a different TV dinner "advisor" just got locked up.
Yes you are correct
“ A Villager known for luring potential investors with meals at restaurants has been jailed on a long list of fraud charges.

John Michael Gissas, 73, of the Village of Gilchrist, was booked without bond Thursday at the Sumter County Detention Center.

He and his financial firm had been under the cloud of a Securities and Exchange Commission investigation since 2020.

Gissas, who operated Retirement Evolution Group LLC of Wildwood has been accused of raising money for Par Funding, whose owners made “opportunistic loans” to small business owners across America – some at interest rates as high as 400 percent, according to the SEC filing. The Connecticut native raised more than $5.4 million from at least 62 investors for Par Funding through the offer and sale of promissory notes.”

[Plinker]

I don't think that is it. I think a lot of people want the personal touch that a small time local advisor can offer. Unfortunately, that sometimes equates to less oversight or the advisor taking liberties that wouldn't be tolerated at a larger firm.

Just my opinion, but if one is paying AUM (assets under management) or any brokerage\commissions you have the potential to be taken advantage of. There are many flat-fee fiduciary advisors that will guide without being tempted by commissions and churning accounts.

Yes, but perhaps the reasons for hiring these small firms goes beyond wanting that personal touch. Is it too much to ask that a basic course in financial literacy be mandatory in high school? Topics could include learning to balance a checkbook, understanding amortization schedules and compound interest. Also, the pitfalls of debt and having a basic knowledge of bonds, stocks, mutual funds and IRA’s. Not an in depth dive but at least an introduction to these terms.

People need to realize that these free dinner offers are nothing more than a sales pitch. Instead of selling used cars they are selling annuities, life insurance and, at times, truly bizarre and risky products (GWG bonds, etc). Often, the salesmen are enriching themselves with fat commissions and have little concern for your financial health.

Am I suggesting people should be cynical and assume that anybody asking you to write a check may have ulterior motives? Yes, that is exactly what I am suggesting! While there are businesses that will treat you with respect and put your interests first, how can you tell the difference? The answer is due diligence including checking references along with license verification and NEVER paying prior to services rendered. Try to learn everything you can about the product being sold and get a second opinion. Never be shy about saying “NO” and walking away.

[SallyB]

I think he turned 90 just recently? At what point should he even be doing this line of work anymore?
Michael is still working he is in his 60's

[SallyB]

Yes you are correct
“ A Villager known for luring potential investors with meals at restaurants has been jailed on a long list of fraud charges.

John Michael Gissas, 73, of the Village of Gilchrist, was booked without bond Thursday at the Sumter County Detention Center.

He and his financial firm had been under the cloud of a Securities and Exchange Commission investigation since 2020.

Gissas, who operated Retirement Evolution Group LLC of Wildwood has been accused of raising money for Par Funding, whose owners made “opportunistic loans” to small business owners across America – some at interest rates as high as 400 percent, according to the SEC filing. The Connecticut native raised more than $5.4 million from at least 62 investors for Par Funding through the offer and sale of promissory notes.”
Well Michael was the around $6 million with hundreds of investors. Wonder if SEC is looking at him.

[SallyB]

Investors holding GWL bonds need to seek immediate legal representation as time limits apply for filing claims. Broker dealers and financial advisors may be liable for investors’ losses due to their failure to disclose that the bonds involves significant risks.

A Deep Dive into GWG Wind Down Trust’s Assets
Portfolio of Life Insurance Policies

Latest Move: The Bankruptcy Court greenlit the sale of this portfolio on October 3, 2023, raking in a total of $10 million.

What It Means for L Bondholders: Expectations suggest they might pocket between $0 and $7 million in total. To put it in perspective, that’s merely 0.5% of the hefty $1.3 billion they’re owed.
Projected Recovery: 0 – 0.5%
FOXO Holdings – 4.6 Million Shares
Stock Status: FOXO’s stocks hover around $0.12 per share as of October 6, 2023.

Insider Insight: On October 3, Ms. Freeman dropped a bombshell. FOXO’s stocks might not be that lucrative after all. The company isn’t flourishing and is even pondering bankruptcy.

Projected Recovery: A nearly negligible 0 – 0.00001%

Stake in Beneficient – 169.7 Million Shares

Stock Update: Trading at approximately $1.29 per share as of October 6, 2023.

Financial Health: Beneficient is on shaky ground. Q2 2023 saw them incurring a staggering $1.15 billion loss.
Their cash reserves? A mere $4.4 million by July 31, 2023. Tough times have forced them to consider furloughs and layoffs.

Excluding goodwill, their net assets stood at $260 million as of June 30, 2023.

Legal Woes: The SEC has its eye on Beneficient. By June 29, 2023, they served a “Wells Notice,” hinting at potential legal battles tied to their association with GWG Holdings. Moreover, Beneficient’s top brass, including their CEO Brad Heppner, are also under the scanner.
Sell-off Challenges: Mr. Freeman highlighted the hurdles in offloading these shares. Given the low trading volume, finding a market for a massive 169.7 million shares seems ambitious.
Projected Recovery: Nominal at best.
Litigation Proceeds
Current Scenario: Michael Goldberg, the Litigation Trustee, will chase the “Retained Causes of Action” independent of the GWG Wind Down Trust. Any proceeds from these legal pursuits will solely fund the distributions under the confirmed Plan. However, diverting these funds for other purposes requires a nod from the Bankruptcy Court or the Litigation Trustee’s written consent.
Projected Recovery: It’s a toss-up!


Not looking good at all

The latest on GWG, still zero hope on any recovery

Beneficient stock is at $1.10 today, how are they going to pay back the funds received by GWG.

Still no payments but we all know there won't be any.

Maybe Michael will be the next one arrested seeing how he lost over $6 million in Villagers money.

[SallyB]

It is crazy what people can get talked into

A Southern California registered representative and a broker-dealer executive on Monday lost an arbitration claim of a little more than $1 million in damages to an investor who bought GWG Holdings Inc. L bonds in 2018.
The award appears to be the largest yet for a claim involving GWG bonds, according to a scan of Finra’s arbitration claims that have resulted a panel’s decision.

Remember you have 6 years from the date of purchase.

[MDFlyer]

Well Michael was the around $6 million with hundreds of investors. Wonder if SEC is looking at him.

It is my understanding that Whitaker has been under SEC investigation for over a year that is either ended this fall or may end soon. He reports to FINRA that he has had no investigations by SEC.

[Keefelane66]

Hold onto your wallet
“ A Villager accused of swindling fellow residents of more than $3 million has been released after posting a sizable bond he previously indicated he couldn’t raise.

John Michael Gissas, 73, of the Village of Gilchrist had been held since Sept. 28 at the Sumter County Detention Center on multiple charges of fraud. He was released this past week after posting $660,000 bond.

A bond hearing had been set for Dec. 12 in which Gissas’ attorney was scheduled to make the case for lowering the bond. Apparently, Gissas did not want to wait until December and found a way to come up with money.

According to the investigation that led to his arrest, Gissas placed ads in The Villages Daily Sun inviting residents to his investment seminars at the Waterfront Inn and VKI Japanese Steakhouse at Lake Sumter Landing. A Villages couple saw the ad in 2019 and attended Gissas’ seminar. They gave him $529,854 and never got a penny of it back. Another Villager lost $794,000 when she invested with Gissas. A total of 27 investors lost a total of $3.7 million with Gissas, according to the investigation report. There were said to be others who either could not be contacted or were too embarrassed to go on the record. The financial crimes investigator for the Florida Office of Financial Regulation found that Gissas from May 2018 to July 2020 “systematically deceived and took advantage” of the victims.”

[blueash]

Ccci

[Carla B]

Ccci

What does 'ccci' mean?

[MDFlyer]

Hi, as some of you know I am involved with a complaint filed with FINRA. Michael L Whitaker and Associates hired an Attorney firm out of Ft. Lauderdale, FL to represent them. They have filed papers with FINRA that on the face look like I signed sales purchase forms for GWG and other stocks. These documents contain false information that was filled in by either Mike Whitaker or an employee. In some cases, there is two or three different handwritings on a single form. There were other things filed with FINRA that were also misrepresented. It seems that Michael is also misleading his own attorney as well as his clients. The truth will be known and things like insider trading will be reported.

[MDFlyer]

Yes you are correct
“ A Villager known for luring potential investors with meals at restaurants has been jailed on a long list of fraud charges.

John Michael Gissas, 73, of the Village of Gilchrist, was booked without bond Thursday at the Sumter County Detention Center.

He and his financial firm had been under the cloud of a Securities and Exchange Commission investigation since 2020.

Gissas, who operated Retirement Evolution Group LLC of Wildwood has been accused of raising money for Par Funding, whose owners made “opportunistic loans” to small business owners across America – some at interest rates as high as 400 percent, according to the SEC filing. The Connecticut native raised more than $5.4 million from at least 62 investors for Par Funding through the offer and sale of promissory notes.”


In my FINRA case, I am trying to expose Whitaker to every enforcement agency that would have any jurisdiction over him.

[MDFlyer]

If you have any leaning towards filing a FINRA case, Please Please do it as soon as possible. The more cases that are filed against Whitaker and his band of crooks the better it should look for everyone. If FINRA thinks you are alone they may lean towards dismissing your case or finding very little. Maybe we should set up a group and meet somewhere in The Villages ever so often to bring things up to date.