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

[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 (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)



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.

[Babubhat]

Oral representations have little to no value in court. Call a few securities attorneys for a free case evaluation. I suspect the numbers may not be enough to interest them

[kkingston57]

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.

Can't help you but thanks for the information.

[retiredguy123]

I'm sorry that it happened. GWG L bonds is a private investment in purchasing life insurance policies at a discount with the hope of making money when the person who sold the policy dies. Basically, this investment is classified as a "junk" bond. According to the GWG prospectus for the L bonds:

"An investment in our securities involves a high degree of risk."

To prevail in a lawsuit, I think your parents would need to prove that the broker was acting as a "fiduciary" and provided advice that was not consistent with their overall financial situation. But, my guess is that the broker was not a fiduciary, which means that he didn't need to provide appropriate advice. Also, they were most likely provided a copy of the prospectus which clearly defines the investment as high risk, not a safe investment. Personally, I don't think a lawyer will do them much good.

[gobuck827]

A Google search using "gwg l bonds class action lawsuit" returned over 50 links to various law firms engaged in class action lawsuits.

[retiredguy123]

A Google search using "gwg l bonds class action lawsuit" returned over 50 links to various law firms engaged in class action lawsuits.
Good luck with that. If they win, the lawyers will make a bundle, and the investors may get a coupon for a hamburger and fries.

[Bilyclub]

We almost signed up with them, but got bad vibes when they started to push us into creating all sorts of accounts without any specific things to invest in.

[ton80]

I'm sorry that it happened. GWG L bonds is a private investment in purchasing life insurance policies at a discount with the hope of making money when the person who sold the policy dies. Basically, this investment is classified as a "junk" bond. According to the GWG prospectus for the L bonds:

"An investment in our securities involves a high degree of risk."

To prevail in a lawsuit, I think your parents would need to prove that the broker was acting as a "fiduciary" and provided advice that was not consistent with their overall financial situation. But, my guess is that the broker was not a fiduciary, which means that he didn't need to provide appropriate advice. Also, they were most likely provided a copy of the prospectus which clearly defines the investment as high risk, not a safe investment. Personally, I don't think a lawyer will do them much good.

If you go FINRA Broker Check you will find that Michael Whitaker has 3 disclosures against him. Two are unresolved "Breach of Fiduciary Duty" for 100,000 and 232,000 $. This suggests that he is supposed to act as a Fiduciary but the resolution is taking a very long time. There are no other details shown. Good Luck!!

[phylt]

Whitaker conducts some of those free lunches with a ‘seminar’ in TV sometimes. Thanks for the heads up. Wonder if he has suits outstanding here.

[retiredguy123]

Whitaker conducts some of those free lunches with a ‘seminar’ in TV sometimes. Thanks for the heads up. Wonder if he has suits outstanding here.
I think the lawsuits are against GWG. Whitaker is just the broker who is selling financial products.

[ton80]

I think the lawsuits are against GWG. Whitaker is just the broker who is selling financial products.

See post # 8. There are suits against Whitaker personally for not fulfilling his fiduciary duty. Go to FINRA Broker Check.

[Keefelane66]

I found this law firm enclosed in suit.
Michael Whitaker is Facing Investor Allegations of Negligence (https://www.kurtalawfirm.com/blog/michael-j-whitaker/)
Sorry for your parents being naive always get documentation in writing not hearsay

[SallyB]

Thank you for the information

[SallyB]

If you go FINRA Broker Check you will find that Michael Whitaker has 3 disclosures against him. Two are unresolved "Breach of Fiduciary Duty" for 100,000 and 232,000 $. This suggests that he is supposed to act as a Fiduciary but the resolution is taking a very long time. There are no other details shown. Good Luck!!
Thank you for the information will be showing my parents. I wonder just how many Villagers were taken by him and GWG.

[SallyB]

Whitaker conducts some of those free lunches with a ‘seminar’ in TV sometimes. Thanks for the heads up. Wonder if he has suits outstanding here.
So, you can be involved in a Ponzi scheme and still offer people free lunch seminars. I am taken back, that he can still operate. I feel bad for the seniors that he has hurt.

[Plinker]

Thank you for the information will be showing my parents. I wonder just how many Villagers were taken by him and GWG.

He is not the only “financial advisor” that has sold this product. Here is a website from an attorney seeking people who have had dealings with the holding company you describe.

Mark Cline Allegedly Recommended GWG L Bonds - (https://whitesecuritieslaw.com/national-securities-corp-mark-cline-gwg-l-bonds/)

[retiredguy123]

If you go FINRA Broker Check you will find that Michael Whitaker has 3 disclosures against him. Two are unresolved "Breach of Fiduciary Duty" for 100,000 and 232,000 $. This suggests that he is supposed to act as a Fiduciary but the resolution is taking a very long time. There are no other details shown. Good Luck!!
Brokers are required by law to act as a fiduciary when advising clients regarding a retirement account, but not about a non-retirement account. Most brokers, who sell risky investments, try to avoid the fiduciary responsibility if they can.

[spinner1001]

Oral representations have little to no value in court. Call a few securities attorneys for a free case evaluation. I suspect the numbers may not be enough to interest them

You could search online for the names of (Florida) lawyers representing clients filing lawsuits against the broker and his brokerage firm and then contact one or more of those lawyers to discuss options. Searching will take some effort. Those legal actions could take place in a state court of law or a FINRA arbitration action. State courts have more information available to the public compared to the private FINRA actions.

The ‘attorney of record’ is listed in online public court files in Florida cases if you can find the cases. In Florida state trial courts, the databases are at the county level. This means you make have to search online using each county’s court records (e.g., Sumter, Lake, Marion). A place to start is searching on the name of the broker and his brokerage firm as defendant.

[retiredguy123]

I’m calling BS.

Legal duties of brokers are mainly established under state laws. Lawsuits against brokers by their investment clients for breach of fiduciary duty seeking damages are filed in state courts, and not in Federal courts.
The requirement to act as a fiduciary when giving advice for retirement accounts is a Federal law. It doesn't apply to non-retirement accounts.

[spinner1001]

The requirement to act as a fiduciary when giving advice for retirement accounts is a Federal law. It doesn't apply to non-retirement accounts.

Straw man, now.

OP did not say anything about a retirement account. If not a retirement account, then Federal ERISA law does not apply.

[fgaba1949]

We almost signed up with them, but got bad vibes when they started to push us into creating all sorts of accounts without any specific things to invest in.

Iam constantly amazed at some of the purchases of our Village people ! I cant tell you how many people lost huge amounts of money using a paid financial advisors and held TECH through a rising fed rate environment ..and financial advisor would know that a mutual fund full of tech would plunge when the fed was raising interest rates,,,as tech stocks are highly leveraged

[retiredguy123]

Iam constantly amazed at some of the purchases of our Village people ! I cant tell you how many people lost huge amounts of money using a paid financial advisors and held TECH through a rising fed rate environment ..and financial advisor would know that a mutual fund full of tech would plunge when the fed was raising interest rates,,,as tech stocks are highly leveraged
I agree about financial advisors. For most investors, advisors don't add much value to investing. They get away with it because many of their clients don't hold the advisor accountable for the performace of their advice. Often, advisors cannot outperform a simple index mutual fund.

[danglanzsr]

I am an investor with Whitaker. GWG is in Chapter 11 reorganization (Southern District of Texas, cases 22-90032 and 22-90033) The L bonds have priority in the bankruptcy case and there is a high likelihood that the bonds will be paid since QWG has over a billion dollars in assets according to filings in the bankruptcy court. It is premature to claim that L bond investors have lost all their money. Therefore any law suit based on loss from the sale of the bonds would be premature. I am only addressing the GWG claims, not any other grievance others may have against Whitaker

[danglanzsr]

GWG is in Chapter 11 Bankruptcy in the Southern District of Texas (Cases 22-90032 and 90033). Until the bankruptcies conclude, no one has lost any money on L bonds. According to filings in the court L bonds have priority over other claims and it is likely they will be paid. Also, they do not mature until 2025 so, at this point, only the interest payments are due. I am a client of Whitaker and a holder of L bonds.

[retiredguy123]

I am an investor with Whitaker. GWG is in Chapter 11 reorganization (Southern District of Texas, cases 22-90032 and 22-90033) The L bonds have priority in the bankruptcy case and there is a high likelihood that the bonds will be paid since QWG has over a billion dollars in assets according to filings in the bankruptcy court. It is premature to claim that L bond investors have lost all their money. Therefore any law suit based on loss from the sale of the bonds would be premature. I am only addressing the GWG claims, not any other grievance others may have against Whitaker
Is there any evidence that GWG did anything illegal? Losing investors' money in a high risk investment is not illegal. As long as they acted in accordance with the prospectus, there would be no recourse in a lawsuit.

[Duppman]

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 know this is horse already out of the barn but IMO any person/company offering a free lunch is just fishing for business and should be steered clear of. Sorry this is happening to your parents.

[PersonOfInterest]

All Investing carries risk. Those who rely on the knowledge and advise of others to invest increase that risk as well. I have little sympathy for those who use a financial adviser, loose money and then blame the financial advisor. Take responsibility for managing your own money and learn to choose your own investments. If you trust someone's decisions and have a bad outcome, learn the Lesson. Make your own decisions.

[SallyB]

The requirement to act as a fiduciary when giving advice for retirement accounts is a Federal law. It doesn't apply to non-retirement accounts.
My moms are in her IRA account. They also have the GWG in their trust account.

[SallyB]

I am an investor with Whitaker. GWG is in Chapter 11 reorganization (Southern District of Texas, cases 22-90032 and 22-90033) The L bonds have priority in the bankruptcy case and there is a high likelihood that the bonds will be paid since QWG has over a billion dollars in assets according to filings in the bankruptcy court. It is premature to claim that L bond investors have lost all their money. Therefore any law suit based on loss from the sale of the bonds would be premature. I am only addressing the GWG claims, not any other grievance others may have against Whitaker
Thank you for your response. Reading todays update I have very little hope for my parents. GWG has $1.2 Billion in L Bond debt. The life policies they own will not cover the bond debt. Now GWG is looking into Chapter 7 bankruptcy I am not sure what that does to the bondholders. The court again yesterday has not approved GWG plan.
This was a Ponzi scheme everything I have researched doesn't look like the bondholders will come out whole.
My question to my parents is why you trust GWG when we now know they are crooks. Why trust Whitaker when he had no business selling theses risky bonds to seniors.

[retiredguy123]

My moms are in her IRA account. They also have the GWG in their trust account.
Here is a Department of Labor website that explains the fiduciary requirements for retirement accounts.

Fiduciary Responsibilities | U.S. Department of Labor (https://www.dol.gov/general/topic/retirement/fiduciaryresp)

[SallyB]

Is there any evidence that GWG did anything illegal? Losing investors' money in a high risk investment is not illegal. As long as they acted in accordance with the prospectus, there would be no recourse in a lawsuit.
Yes, there is evidence that GWG did illegal transactions. The CEO transferred $258 million dollars illegally according to the SEC reports. The SEC has been investigating GWG for years. One thing they are investigating is the "Rob Peter to Pay Paul". GWG had $2 Billion in L Bonds and the death claims on the life policies they held did not cover their high interest returns monthly to bondholders. So, they raise the incentives to brokers to sell more so they could use the new money to pay their monthly obligations. What I read is GWG monthly obligations is somewhere around $48 million a month in interest to bond holders.

I also read part of Whitaker job was to do his due diligence into the companies he sells. How could this have been missed.

[SallyB]

Here is a Department of Labor website that explains the fiduciary requirements for retirement accounts.

Fiduciary Responsibilities | U.S. Department of Labor (https://www.dol.gov/general/topic/retirement/fiduciaryresp)
Thank you

[LuvtheVillages]

I am an investor with Whitaker. GWG is in Chapter 11 reorganization (Southern District of Texas, cases 22-90032 and 22-90033) The L bonds have priority in the bankruptcy case and there is a high likelihood that the bonds will be paid since QWG has over a billion dollars in assets according to filings in the bankruptcy court. It is premature to claim that L bond investors have lost all their money. Therefore any law suit based on loss from the sale of the bonds would be premature. I am only addressing the GWG claims, not any other grievance others may have against Whitaker

From the on-line publication Investment News:

"In its bankruptcy filings, GWG Holdings reported $3.5 billion of total assets and almost $2.1 billion in total debt. While its assets reportedly outweigh its debt, GWG Holdings’ big hurdle is that many of those assets are illiquid, hard-to-value pools of life settlements, or unwanted insurance policies that consumers sell to investors like GWG Holdings, which can come with risks.

Leading up to the start of this year, GWG Holdings, a publicly traded company with the ticker GWGH, had struggled to file its audited quarterly and annual financial statements on time."


So it looks like there won't be much cash available until the people who sold their life insurance policies die.

From the same source:
"... the company’s collapse, including GWG’s defaulting on $13.6 million in payments in January to bondholders."

So they can't even make their interest payments!

Do your own research. Don't rely on what Whitaker sends you.

[SallyB]

All Investing carries risk. Those who rely on the knowledge and advise of others to invest increase that risk as well. I have little sympathy for those who use a financial adviser, loose money and then blame the financial advisor. Take responsibility for managing your own money and learn to choose your own investments. If you trust someone's decisions and have a bad outcome, learn the Lesson. Make your own decisions.
Thank you for responding. I don't it is fair to blame a person who seeks help from a broker/financial advisor not everyone understands the market and need help from someone who is supposed to be trusted. By what you are saying we should not ever look for help in matters we don't understand. Don't we all seek help from a professional on matters we don't understand plumbers, electricians, lawyer and so on.
This is not 100% on my parent's fault, yes they should have not been so trusting.

[wmcgowan]

roll them over to Fidelity or Schwab - I mean at what point are their losses too much?

[Macevoyja]

There are no ‘free’ lunches here or anywhere else .

[Tyson]

Three words, VANGUARD, VANGUARD, VANGUARD.

[MDFlyer]

Thank you for the information will be showing my parents. I wonder just how many Villagers were taken by him and GWG.
Many of us have been "advised" by Michael Whitaker. His advice is worthless to many who, particularly, up in age since he doesn't "advise" them according to their financial status or age. He seems only interested in the money he makes from selling GWG products. We also invested in GWG and were told by Michael to hang in there even though he knew that they had missed two reporting quarters which should have been a bright red flag. Fiduciary NO.

[Bilyclub]

All Investing carries risk. Those who rely on the knowledge and advise of others to invest increase that risk as well. I have little sympathy for those who use a financial adviser, loose money and then blame the financial advisor. Take responsibility for managing your own money and learn to choose your own investments. If you trust someone's decisions and have a bad outcome, learn the Lesson. Make your own decisions.

From what has been posted here, it sounds like the advisor sold out his clients for a bigger commission. Perhaps, Seniors vs Crimes might get involved.

[Babubhat]

Wait until you see how much bankruptcy attorneys fees eat up any remaining assets. The field is a gold mine.

By the way, anyone else notice how local wealth advisors have polo ponies, eat frequently in expensive restaurants and have flashy cars? It’s at your expense.

Read up on Josh Brown, reformed broker on cnbc. Money is supposed to work for you

[Boomer]

Thank you for responding. I don't it is fair to blame a person who seeks help from a broker/financial advisor not everyone understands the market and need help from someone who is supposed to be trusted. By what you are saying we should not ever look for help in matters we don't understand. Don't we all seek help from a professional on matters we don't understand plumbers, electricians, lawyer and so on.
This is not 100% on my parent's fault, yes they should have not been so trusting.


SallyB, I am so sorry this is happening to your parents.

Even though there are some good advisors around, there are also sewer rats in the business of other people’s money. Their pitches are basically smoke and mirrors, designed to make those who are seeking advice think that they can never understand what to do with their own money, so they have to turn it over.

I have no advice for you, other than to comment on what someone else said in Post #40 — about getting the remainder of the money out if you can and getting it into Fidelity or Schwab……

If I were you, I would set up an appointment with one of those and find out what would be involved in moving the accounts to try to rescue what you can. (I would also talk to Vanguard. They do not have local offices like the other two, but I think they have people you can talk to by phone.)

I wish you good luck.

Boomer

[PanamaKim]

I wonder if Seniors Against Crime would be helpful? They have an office in Brownwood and can be reached by phone during business hours. I absolutely hate that there are people in the world that try to separate folks from their money in such deceitful ways.

[Babubhat]

Way beyond their scope.

[PersonOfInterest]

Thank you for responding. I don't it is fair to blame a person who seeks help from a broker/financial advisor not everyone understands the market and need help from someone who is supposed to be trusted. By what you are saying we should not ever look for help in matters we don't understand. Don't we all seek help from a professional on matters we don't understand plumbers, electricians, lawyer and so on.
This is not 100% on my parent's fault, yes they should have not been so trusting.

Yes we should see professional help, but we also should either have some knowledge about whatever we are using a professional for OR we need to accept that we are at their mercy and could be misguided without knowing it. When your plumber says "Repipe the entire house" or the electrician says you need a 'Power Conditioner' for $5,000 or the Lawyer tells you he will only represent your personal injury case if given a $10,000 retainer. All may have good intentions as well, but it still should be Your decision, not the professionals.

[spexdr]

I got scammed out of a lot of money also. At least your parents can deduct the loss, as it’s a Ponzi scheme, from their taxes.

[MDFlyer]

I got a reply from Whitaker. I immediately ordered the balance of my investments, however small they represent allot to me, liquidated. On top of the losses he is charging me to sell the bad investments he put me in.

[SallyB]

From the on-line publication Investment News:

"In its bankruptcy filings, GWG Holdings reported $3.5 billion of total assets and almost $2.1 billion in total debt. While its assets reportedly outweigh its debt, GWG Holdings’ big hurdle is that many of those assets are illiquid, hard-to-value pools of life settlements, or unwanted insurance policies that consumers sell to investors like GWG Holdings, which can come with risks.

Leading up to the start of this year, GWG Holdings, a publicly traded company with the ticker GWGH, had struggled to file its audited quarterly and annual financial statements on time."


So it looks like there won't be much cash available until the people who sold their life insurance policies die.

From the same source:
"... the company’s collapse, including GWG’s defaulting on $13.6 million in payments in January to bondholders."

So they can't even make their interest payments!

Do your own research. Don't rely on what Whitaker sends you.
Thank you

[SallyB]

I got a reply from Whitaker. I immediately ordered the balance of my investments, however small they represent allot to me, liquidated. On top of the losses he is charging me to sell the bad investments he put me in.
I am sorry you lost your money too. What reply did he give you on GWG?

[MDFlyer]

Whitaker's favorite response is: Hold on to what you have because you haven't lost anything until you take it out. How long is too long when you are in your 70s and 80s to see if you can make a sow's ear into a silk scarf? Still giving bad advice Mike?

[MDFlyer]

I am sorry you lost your money too. What reply did he give you on GWG?

Do not believe what you are reading or what your bank account is telling you.

[Pairadocs]

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.

[Pairadocs]

Thank you for responding. I don't it is fair to blame a person who seeks help from a broker/financial advisor not everyone understands the market and need help from someone who is supposed to be trusted. By what you are saying we should not ever look for help in matters we don't understand. Don't we all seek help from a professional on matters we don't understand plumbers, electricians, lawyer and so on.
This is not 100% on my parent's fault, yes they should have not been so trusting.

It goes on everywhere, and the Villages is of course a prime target. You are quite right to point out how many intelligent, hard working people have NO idea how to manage their savings in retirement, though they have been very successful savers during their working years. I was not in a financial career, but had an early interest in how it all worked, investing, stocks, funds, active vrs. passive management, all of it, so I felt well prepared to manage in retirement. But you are correct, most people do not go into retirement with a great deal of knowledge of what they should do, and to make matters worse, the statistics show 65% of retirees do NOT stay in their area where they have life long trusted people around them, a "home town" banker who has always been there with sound advice. So they become easy targets for the nice "free" dinners at a desirable restaurant or country club... you'll see few of these "investment advice" dinners at the Waffle House.. not that I don't consider the Waffle House "desirable", I do, was just there THIS MORNING. But point being, I am surrounded by neighbors who admit they have no clue how to manage retirement nest eggs, yet were well educated professionals in their own field. So of course they TURN to a "professional" manager... and as Jimmy Buffet said, all the sharks in Florida are definitely NOT in the ocean ! No, your parents are far from the only seniors who have no idea of these shark infested waters. If you only knew the training some of these "advisors/sales persons" go through... many seniors don't have a chance, they are told exactly what they need to hear about "safety" of their money.

[VICAR OF DIBLEY]

Hi, vheck out vicar of dibley. I posted on this site about Whitaker. I received so much valuable information. I hope this info can help you

VicarofDibey

[MDFlyer]

I hope everyone continues to post in this thread. There is a lot we can learn and need to know about, not only this "advisor" but what the general trend may be and where and how to get help.

[Plinker]

Few client actions are more disconcerting to an advisor than multiple SEC “disclosures”. Contacting a legal firm that is already in litigation with GWG and the L-bond debacle can result in a formal complaint of malfeasance to the SEC and will be listed on the advisor’s form ADV. This form is readily available and free on the FINRA website. Click on the “Brokercheck” tab, search by name or firm and click on “disclosures”. Unfortunately, I am concerned that many seniors are unaware of this website.
The FINRA website lists 4 disclosures in the last year for Mr. Whitaker, Sr. as well as disclosures for Mr. Whitaker, Jr. Breach of fiduciary duty as well as other accusations are listed on the FINRA website. Both individuals are at the same address in The Villages.
I have no doubt there are fiduciary advisors that truly put their clients’ interest first. Unfortunately, it appears many are far more interested in pushing high-commission products. Due diligence, a call to Vanguard and seeking legal recourse is my recommendation.

[SallyB]

I am an investor with Whitaker. GWG is in Chapter 11 reorganization (Southern District of Texas, cases 22-90032 and 22-90033) The L bonds have priority in the bankruptcy case and there is a high likelihood that the bonds will be paid since QWG has over a billion dollars in assets according to filings in the bankruptcy court. It is premature to claim that L bond investors have lost all their money. Therefore any law suit based on loss from the sale of the bonds would be premature. I am only addressing the GWG claims, not any other grievance others may have against Whitaker
I was speaking to my parents today and they stated they received an email from Michael office from the company he works for New Bridge Securities for about 10 to 12 months ago. The email in short stated if a client sues Michael over GWG and wins that New Bridge and Michael can come back after the client if GWG finally settles in court.
Did you get the same letter. I am taken back yet again. It's not bad enough he put people in their 70's and 80's in a high-risk product telling them it was conservative but then threaten to come after them if they sue.

[MDFlyer]

I am willing to take my chances on getting sued by Michael Whitaker if, and that is a big if, GWG ever settles. Number one there might be nothing to sue for since his advice has cost me most of my wealth. The first appearances before the judge did not go very far in building my confidence that GWG will ever return any of my money. It looks like suing Whitaker is the only way to get anything back and that is also slim.

[retiredguy123]

I am willing to take my chances on getting sued by Michael Whitaker if, and that is a big if, GWG ever settles. Number one there might be nothing to sue for since his advice has cost me most of my wealth. The first appearances before the judge did not go very far in building my confidence that GWG will ever return any of my money. It looks like suing Whitaker is the only way to get anything back and that is also slim.
I agree that suing Whitaker is probably your only hope. I don't understand why there are so many lawsuits against GWG when the company is bankrupt. You can't get blood from a turnip.

[hrhphyllis]

In addition, if the company is in bankruptcy you would get nothing anyway thru a lawsuit. I think pull everything from this brokerage immediately, this man took advantage of ur parents & probably pushed the bonds where he made the most commission.

[DAVES]

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 would contact the sheriff dept, crimes against seniors. I would contact New Bridge Securities. They are likely insured. Their business requires a license. If they loose that license they are out of business. I would also contact the securities and exchange commission. Ethics?

A lawyer? The mentioned Loss of 100,000. You will I expect discover it will cost, a guess,
20,000 for a chance to recover the 100,000 and there is no guarantee.

Those lunches offered by investment firms. We went to ONE. They give you a form, what do you have, where is it. Date of birth, net worth, I think the even asked for your social security number. My form said NONE OF YOUR BUSINESS. When they went in for the close, they saw my form. The poor guy who tried to get info from me HAD A BAD DAY. Lunch was well OK.

[DAVES]

I am willing to take my chances on getting sued by Michael Whitaker if, and that is a big if, GWG ever settles. Number one there might be nothing to sue for since his advice has cost me most of my wealth. The first appearances before the judge did not go very far in building my confidence that GWG will ever return any of my money. It looks like suing Whitaker is the only way to get anything back and that is also slim.

My first name is DAVID. The bible story David vs Goliath, if true the real lesson according to me is that David refused to fight the battle Goliath expected. I would NOT fight in their arena. See my other posted suggestions.

His advice cost me most of my wealth? All need to realize investment sellers are SALESMEN not your friend. Never put most of your wealth into anything. Perhaps too late but hopefully herd by others.

If, I understand what is going on Michael is an employee of a brokerage. Even if he owns the brokerage the company is responsible for Michael's actions if they are unethical. Loss of the license will put the firm out of business.

"First appearance before a judge," Fair or whatever. Our legal system is sort of self perpetuating. Representing yourself to save the outrageous cost for an attorney, you are viewed not with respect but as a bother.

As far as settles, you can bet IF the company is bankrupt, the principals, and legal staff have taken anything of value. Even office furniture will be sold and pocketed.

[DAVES]

In addition, if the company is in bankruptcy you would get nothing anyway thru a lawsuit. I think pull everything from this brokerage immediately, this man took advantage of ur parents & probably pushed the bonds where he made the most commission.

Past experience re bonds. Bearer bonds have not been issued in years. They are book entry. You are forced to have a broker hold them. "Pull everything from this brokerage," as you need a broker to hold them it may be difficult. Years ago I held TAX FREE BONDS.
The brokerage started charging me fees to hold the bonds THEY SOLD ME. The rep who sold me the bonds left and unethically contacted me to transfer my account to the firm he was setting up. Unethical because clearly he took what are supposed to be secured records at the brokerage. I already had an account at Fidelity. They helped me to transfer the bonds to them at no charge to me.

[Gpsma]

Past experience re bonds. Bearer bonds have not been issued in years. They are book entry. You are forced to have a broker hold them. "Pull everything from this brokerage," as you need a broker to hold them it may be difficult. Years ago I held TAX FREE BONDS.
The brokerage started charging me fees to hold the bonds THEY SOLD ME. The rep who sold me the bonds left and unethically contacted me to transfer my account to the firm he was setting up. Unethical because clearly he took what are supposed to be secured records at the brokerage. I already had an account at Fidelity. They helped me to transfer the bonds to them at no charge to me.

How many years ago are u talking about? Years ago a broker didnt hold your bond or stock certicate, they were held by the Depository Trust Company. That ended years ago, u buy a bond or stock..its nothing more than an entry in yoir account.

Sorry for what the OPs mother is going thru but why are people, at this age, dealing with fly by night investment advisors. As some posters siggested..go to Fidelity, Shwab, Vanguard etc.

My guess..glib slaesman giving u a rubber chicken lunch and if its for free Villages will buy imto it

[MDFlyer]

ACCORDING TO HIM, "Michael L. Whitaker & Associates" are not "fly by night investment advisors" Everywhere Whitaker advertises he touts 38 years in business. Another false statement was made to lure you to invest with his firm. This may be the best avenue to look into. He may have been doing some type of insurance sales, or something else in the financial field but having a company to give financial advice was not one of them. On the FINRA page, it says 19 years total in the field.

[Babubhat]

Have you read your agreement. You are likely subject to arbitration which is never good

[MDFlyer]

Please keep this thread alive and well. We need input from the locals in the area that have bought GWG from Michael L. Whitaker and Associates, and other so-called financial advisors in the area. When, what, and how did you handle or are handling GWG and your advisor? If an advisor can use false information in company ads to lure in clients, is it fraud?

[MDFlyer]

I think the lawsuits are against GWG. Whitaker is just the broker who is selling financial products.

I think any suit against Michael L Witaker and Associates will be for lack of supervision, not acting as a fiduciary or some other personal lacking. Of course, there is also a possible criminal case for fraud.

[blue skies]

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 to. If you did file a lawsuit, what lawyer did you use and were you happy with the results.. Contact johnlamolli@flofir.gov or possibly the Silver Law Firm. One is criminal and the other is civil. Also, the federal SEC - Annie Rigler-Berlin.

[SallyB]

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.
Thank you for your reply

[SallyB]

I think any suit against Michael L Witaker and Associates will be for lack of supervision, not acting as a fiduciary or some other personal lacking. Of course, there is also a possible criminal case for fraud.
I think you are right about being criminal and fraud. My parents are listed as conservative / moderate investors so, selling them a high risk alternative investment was not in their best interest.

[MDFlyer]

Thank you for your reply

Sometimes the decline of a company is very slow and may even not be noticeable. We were with Michael L Whitaker since about 2010 when his company just started, his company was very good then. We told him that after big losses in 2008, we did not want to be in ANY risky stock or positions. Over the years Whitaker slipped into higher and higher risks (they pay higher commissions) until we arrived here with losses well over $100,000 and growing. Some we cannot get out of because of restrictions. He is still saying we haven't lost any money until we take it out. At 79 what are our chances of the market coming back enough to put us in the green?

[MDFlyer]

If true, that GWG is determined to be a Ponzi Scheme shouldn't the brokers, in my case Michael L Whitaker, be partly responsible to their clients? We did rely on these brokers/advisors to guide us but were left hanging when they knew, or should have known, GWG was in trouble.


(Cut and pasted from the original post) The information I have found says that this "GWG Was a Classic Ponzi Scheme"-Official Committee of Bondholders of GWG Holdings, Inc. The CEO transferred from the bondholders $258 million into his new company Beneficent. It stated that GWG used new bondholder funds to pay their monthly payouts 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.

[Plinker]

Here are two more law firms specifically listing Mr. Whitaker as a
salesman of these Ponzi bonds. It’s hard to come to the conclusion that he was working in his clients’ best interest. Although unlikely, it would be just punishment if a court would order a clawback of all commissions paid and made available for restitution to injured parties. A quick check of his disclosure page on FINRA eliminates him as a trusted advisor. There may be many more disclosures on the horizon.

Were You the Victim of Newbridge Securities Corporation Broker Michael Whitaker? | Erez Law

Bonds Category Archives — Page 2 of 2 — Securities Arbitration Lawyers Blog Published by Securities Arbitration Lawyers — Silver Law Group

[MDFlyer]

Here are two more law firms specifically listing Mr. Whitaker as a
salesman of these Ponzi bonds. It’s hard to come to the conclusion that he was working in his clients’ best interest. Although unlikely, it would be just punishment if a court would order a clawback of all commissions paid and made available for restitution to injured parties. A quick check of his disclosure page on FINRA eliminates him as a trusted advisor. There may be many more disclosures on the horizon.

Were You the Victim of Newbridge Securities Corporation Broker Michael Whitaker? | Erez Law

Bonds Category Archives — Page 2 of 2 — Securities Arbitration Lawyers Blog Published by Securities Arbitration Lawyers — Silver Law Group
Yes, Michael L Whitaker pushed the sale of GWG as part of our portfolio with his company. He had many dinners and golf outings sponsored by GWG. If GWG were drugs I would call him a drug pusher. There were other events, that involved investments by my son, that did not look like he was acting as a fiduciary and only in it for the commissions. High risk = High Commissions, Often trades = More Commissions and as the wheel turns it goes faster and faster until it is out of control. The worst part and most telling, in my mind was he did not get us out when he knew they had missed mandatory reporting dates.

[SallyB]

If true, that GWG is determined to be a Ponzi Scheme shouldn't the brokers, in my case Michael L Whitaker, be partly responsible to their clients? We did rely on these brokers/advisors to guide us but were left hanging when they knew, or should have known, GWG was in trouble.


(Cut and pasted from the original post) The information I have found says that this "GWG Was a Classic Ponzi Scheme"-Official Committee of Bondholders of GWG Holdings, Inc. The CEO transferred from the bondholders $258 million into his new company Beneficent. It stated that GWG used new bondholder funds to pay their monthly payouts 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.
What I have read is that GWG started "Robbing Peter to Pay Paul" about 5 years before the SEC started to investigate them. Which is a classic Ponzi scheme. In fact, GWG blames the SEC for bringing them down because they started an investigation.

How for the 5 years before the bankruptcy did this go unnoticed by SEC, New Bridge and Michael, isn't that their job.
I guess their commission trumped people's best interests.

What I find unbelievable, is Michael wants my parents and all his other clients is to trust the company that he knows is run by crooks. He states the company that GWG is part owner will be part of will be GWG saving grace, but the new company is owned by the same crooks. How does that even make sense?

[DAVES]

Thank you for your response. Reading todays update I have very little hope for my parents. GWG has $1.2 Billion in L Bond debt. The life policies they own will not cover the bond debt. Now GWG is looking into Chapter 7 bankruptcy I am not sure what that does to the bondholders. The court again yesterday has not approved GWG plan.
This was a Ponzi scheme everything I have researched doesn't look like the bondholders will come out whole.
My question to my parents is why you trust GWG when we now know they are crooks. Why trust Whitaker when he had no business selling theses risky bonds to seniors.

Life? Perhaps, older. My parents, both sides, have passed. Roles perhaps reverse. Why did you? How could you have? Why do I remember my mother asking me that?

CROOKS? My brother in law an accountant who was also selling investments, for me a conflict of interest, On her passing I found HE sold some TRASH to my them 86 year old mother, GUILTY? Am am guilty of stupidly trusting my sister and her crooked husband.

[DAVES]

Whitaker conducts some of those free lunches with a ‘seminar’ in TV sometimes. Thanks for the heads up. Wonder if he has suits outstanding here.

So many intelligent people are taken by scams. Unethical practices.

We are supposed to learn. I confess I too have been taken but fortunately for at most $100.

As a kid, I sent away for FREE POSTAGE STAMPS used to advertised on matchbook covers. My allowance was like a quarter a week. Hey, inflation. That would cover a slice of pizza and a small coke. I sent in a coupon from a bus for
FLORIDA LAND. Remember the under water Florida land sales?

Mom, long gone, told me never to sign anything without reading it. I get many strange reactions insisting on this. How many times are we presented with a blank keypad-sign here.

We should ALL insist on reading what you are signing. That form is to protect NOT YOU but the people telling YOU there is no reason to read it.

[MDFlyer]

So many intelligent people are taken by scams. Unethical practices.

We are supposed to learn. I confess I too have been taken but fortunately for at most $100.

As a kid, I sent away for FREE POSTAGE STAMPS used to advertised on matchbook covers. My allowance was like a quarter a week. Hey, inflation. That would cover a slice of pizza and a small coke. I sent in a coupon from a bus for
FLORIDA LAND. Remember the under water Florida land sales?

Mom, long gone, told me never to sign anything without reading it. I get many strange reactions insisting on this. How many times are we presented with a blank keypad-sign here.

We should ALL insist on reading what you are signing. That form is to protect NOT YOU but the people telling YOU there is no reason to read it.
Yes, it seems the older we get the more people like Michael L Whitaker and Associates to see us as targets for them to take advantage of. I hope this thread has been some help in saving others thinking of dealing with Whitaker. Of course, he says he only gives advice but the client makes the final decision. True but isn't he being paid to guide his clients to make the correct decisions? While it will not help me recover any of my money I hope that Michael L Whtaker also has to pay the price for the selfish, self serving why he "guided the lambs to slaughter".

[Plinker]

Yes, it seems the older we get the more people like Michael L Whitaker and Associates to see us as targets for them to take advantage of. I hope this thread has been some help in saving others thinking of dealing with Whitaker. Of course, he says he only gives advice but the client makes the final decision. True but isn't he being paid to guide his clients to make the correct decisions? While it will not help me recover any of my money I hope that Michael L Whtaker also has to pay the price for the selfish, self serving why he "guided the lambs to slaughter".

You bring up an interesting point. Mr. Whitaker made a hefty commission selling these inappropriate high-risk bonds to seniors. Did he also charge a AUM (assets under management) fee yearly to MANAGE these bonds? In other words, double dipping? For example, if he sold you $100,000 worth of L-bonds and charged you a typical 1% annual AUM fee, did he not garnish $1000 from your account annually? If yes, is he not potentially guilty of MISMANAGING this portion of your portfolio while he was aware of GWG troubles? After all, his financial gain extended beyond his commission and therefore, perhaps, his liability.

[MDFlyer]

You bring up an interesting point. Mr. Whitaker made a hefty commission selling these inappropriate high-risk bonds to seniors. Did he also charge a AUM (assets under management) fee yearly to MANAGE these bonds? In other words, double dipping? For example, if he sold you $100,000 worth of L-bonds and charged you a typical 1% annual AUM fee, did he not garnish $1000 from your account annually? If yes, is he not potentially guilty of MISMANAGING this portion of your portfolio while he was aware of GWG troubles? After all, his financial gain extended beyond his commission and therefore, perhaps, his liability.
Whitaker is not alone, although he is one of the best-known in this area. In my opinion, he is the worst of the breed because he not only lured in new clients with the GWG-sponsored golf tournaments and dinners combined with the slogan about Michael L Whitaker being in business for 38 years, but he turned on clients that had been with him for many years and had grown to trust him and his firm.

[SallyB]

Yes, Michael L Whitaker pushed the sale of GWG as part of our portfolio with his company. He had many dinners and golf outings sponsored by GWG. If GWG were drugs I would call him a drug pusher. There were other events, that involved investments by my son, that did not look like he was acting as a fiduciary and only in it for the commissions. High risk = High Commissions, Often trades = More Commissions and as the wheel turns it goes faster and faster until it is out of control. The worst part and most telling, in my mind was he did not get us out when he knew they had missed mandatory reporting dates.
Just read that GWG stopped buying life insurance policy in 2019 which made the L Bond have no market value.

Again, we have to ask why Michael didn't know this or did he and just kept selling them anyways.

Why didn't Michael let his clients know the second he knew the company missed their filing deadline with the SEC and give the people the option to stay in or sell. Would he have lost commissions?

[MDFlyer]

Just read that GWG stopped buying life insurance policy in 2019 which made the L Bond have no market value.

Again, we have to ask why Michael didn't know this or did he and just kept selling them anyways.

Why didn't Michael let his clients know the second he knew the company missed their filing deadline with the SEC and give the people the option to stay in or sell. Would he have lost commissions?
The reason he continued to ignore his responsibility to be a fiduciary is MONEY. As a business grows and is successful the management gets used to the lifestyle that comes with that success. It is very hard to admit to friends and family that you need to adjust your lifestyle so you find alternative ways to keep the income flowing. In the case of GWG, high commissions meant the income could continue and the lifestyle did not have to change, at least not right then. We have focused on GWG but buying and selling clients' stocks, putting them in risky investments that were not appropriate for their age and portfolio, and other income-producers were also used by Michael L Whitaker and Associates.

[retiredguy123]

The reason he continued to ignore his responsibility to be a fiduciary is MONEY. As a business grows and is successful the management gets used to the lifestyle that comes with that success. It is very hard to admit to friends and family that you need to adjust your lifestyle so you find alternative ways to keep the income flowing. In the case of GWG, high commissions meant the income could continue and the lifestyle did not have to change, at least not right then. We have focused on GWG but buying and selling clients' stocks, putting them in risky investments that were not appropriate for their age and portfolio, and other income-producers were also used by Michael L Whitaker and Associates.
Note that a typical stock broker or insurance salesperson is not required to be a fiduciary, unless they are providing advice on a retirement account. So, they usually cannot be held liable for selling a risky product that may not be appropriate for a client of a certain age or financial situation. It's buyer beware. The investment and insurance industries have many lobbyists working fulltime to prevent these salespeople from being required to act as fiduciaries. They are also trying to repeal the retirement account requirement. So, when you hire any financial advisor, you should demand that they certify to you, in writing, that they will act as a fiduciary when giving you advice. Although, I doubt that many insurance salespeople will provide this certification.

[MDFlyer]

Note that a typical stock broker or insurance salesperson is not required to be a fiduciary, unless they are providing advice on a retirement account. So, they usually cannot be held liable for selling a risky product that may not be appropriate for a client of a certain age or financial situation. It's buyer beware. The investment and insurance industries have many lobbyists working fulltime to prevent these salespeople from being required to act as fiduciaries. They are also trying to repeal the retirement account requirement. So, when you hire any financial advisor, you should demand that they certify to you, in writing, that they will act as a fiduciary when giving you advice. Although, I doubt that many insurance salespeople will provide this certification.
Michael L Whitaker holds himself and his company out to be a fiduciary. His ads and other material he puts out for his company also, either outright say he has to act as a fiduciary. In my opinion, anyone who is advising another person about what to do with their money should only be acting in the best interest of their clients, friend, or associates. Whitaker has always held himself and his company out to be a fiduciary to his clients. Many times breaching this responsibility for his own gain.

[retiredguy123]

Michael L Whitaker holds himself and his company out to be a fiduciary. His ads and other material he puts out for his company also, either outright say he has to act as a fiduciary. In my opinion, anyone who is advising another person about what to do with their money should only be acting in the best interest of their clients, friend, or associates. Whitaker has always held himself and his company out to be a fiduciary to his clients. Many times breaching this responsibility for his own gain.
A financial advisor or insurance salesperson is not required to be a fiduciary. And, on his website, I didn't find anything that says he is a fiduciary. In fact, this is an excerpt from his website:

"The calculations do not infer that our company, or the company providing the calculators, assumes any fiduciary duties."

So, he is specifically denying fiduciary duties.

Unless you have a written certification that he agrees to be your fiduciary, I think he will deny it a lawsuit. Any reputable financial advisor who is willing to advise you as a fiduciary will gladly give you a personal letter clearly stating the fiduciary relationship.

[MDFlyer]

A financial advisor or insurance salesperson is not required to be a fiduciary. And, on his website, I didn't find anything that says he is a fiduciary. In fact, this is an excerpt from his website:

"The calculations do not infer that our company, or the company providing the calculators, assumes any fiduciary duties."

So, he is specifically denying fiduciary duties.

Unless you have a written certification that he agrees to be your fiduciary, I think he will deny it a lawsuit. Any reputable financial advisor who is willing to advise you as a fiduciary will gladly give you a personal letter clearly stating the fiduciary relationship.
Sounds like we have a plant here defending the indefensible.

[retiredguy123]

Sounds like we have a plant here defending the indefensible.
Not a plant or defending anyone. Just explaining the facts. Unscrupulous advisors do not want to be fiduciaries.

[capecoralbill]

Will it be difficult for me to move my account from Michael Whitaker to Edward Jones?
I have two IRA's and a Family Trust, all totaling under 500k.
Any comments on the Edward Jones investment firm? thank you in advance

[MDFlyer]

He was a client of Michael L Whitaker for many years and he and his company were very good initially. He has always represented himself, his employees, and his company as Fiduciaries. Keep up with the thread and you will see that others have, or have been given the exact representation Whitaker gave to us.

[retiredguy123]

Will it be difficult for me to move my account from Michael Whitaker to Edward Jones?
I have two IRA's and a Family Trust, all totaling under 500k.
Any comments on the Edward Jones investment firm? thank you in advance
I don't know anything about Edward Jones. But, I am sure they will handle a direct transfer of your IRA assets to their company. If you need to liquidate the investments and purchase similar assets with Edward James, there will be no tax consequences. I don't know about the trust assets. I would suggest that you consider Fidelity or Vanguard over Edward Jones. Lower fees.

[Plinker]

I don't know anything about Edward Jones. But, I am sure they will handle a direct transfer of your IRA assets to their company. If you need to liquidate the investments and purchase similar assets with Edward James, there will be no tax consequences. I don't know about the trust assets. I would suggest that you consider Fidelity or Vanguard over Edward Jones. Lower fees.

Excellent advice. EJ is known for having very high fees. Far better off with Vanguard or Fidelity.

[MDFlyer]

If you are following this thread then you will know that Michael L Whitaker holds certain licenses like FINRA that make Michael L Whitaker and Associates Fiduciaries. Furthermore, I have attended many meetings over the years where Michael L Whitaker himself has touted, proudly, that he always acts as a Fiduciary in dealing with his clients. This is not even close to being true. Slick, smooth talker, yes Fiduciary NO.

[Gpsma]

Just picked up my mail. Guess what I got? A free dinner at lopez from Mr Whittaker!

Im rushing to sign up..after all, it said it fills up fast!

[mike1206?]

This is Michael L. Whitaker of Michael Whitaker & Associates. I am writing to address some recent posts here (and comments to those posts) that contain misleading and outright false allegations about me, as well as misleading information regarding GWG L Bonds, an investment that some of my clients own. The purpose of this post is to provide readers with the relevant facts regarding myself and the services I provide to my clients in light of the false descriptions that some people have posted here. Unfortunately, I feel this response is necessary to defend my personal and professional reputation in hopes that readers are not misled by the false information in these postings.

First and foremost, I have been in the financial services field for 38 years. For about half of that time, I worked primarily in the insurance business and was not required to be registered with a broker-or investment advisor. I have a degree in finance from the University of South Florida and I am a Chartered Financial Consultant. I began my career in the financial services industry in 1984 in and around The Villages and have strived to provide each and every one of my clients with dedicated and client-focused advice and services. I have always strived to put the interests of my clients first and foremost. My investment recommendations are not driven by the commissions and fees that a particular investment may generate, but rather by what investments I reasonably believe are in the best interest of and appropriate for my clients, given their particular objectives, needs and circumstances. I do not charge my clients unreasonable or duplicative fees or commissions (as was falsely alleged in at least one of the postings).

It has been the honor and privilege of my lifetime to serve this community as a financial services professional. The false assertion that I would knowingly recommend a “scam” investment to any of my clients is as hurtful as it is wrong. Over the course of my career, the majority of the investments that I have recommended to my clients have performed well. However, as every investor must acknowledge, virtually all investments carry some risk with them. I am confident that you also would agree with me that financial advisors do not have a “crystal ball” and cannot be expected to accurately predict the future performance of the investments they recommend. Indeed, certain investments that were reasonable and appropriate when recommended may occasionally be adversely impacted by subsequent market forces outside of a financial advisor’s control. However, that does not mean that the investment recommendation, when made (often years earlier), was in any way improper or illegal.

Such is the case with GWG L Bonds, the investment that is mentioned in certain of the posts below. At the time that I made recommendations to certain clients to consider an investment in GWG L Bonds, that company had an outstanding track record of performance, and had never missed an interest payment or a redemption request. I submit to you that I had a reasonable basis for each recommendation I made to each client who purchased this product. However, subsequent events and market forces outside my control resulted in the issuer of the GWG L Bonds filing a Chapter 11 bankruptcy case in May 2022. This bankruptcy proceeding is ongoing, and the Debtor has advanced a bankruptcy plan to marshall the company’s substantial assets that, if approved, is likely to result in substantial distributions to investors. While the precise amount of any such distributions cannot be accurately predicted at this moment, it likewise cannot be accurately predicted whether, or to what extent, investors will ultimately realize any losses on this investment. Notably, the allegation that GWG is a “Ponzi-scheme” is not accurate and flat out false. In fact, many of the allegations posted here regarding GWG have been pulled directly from websites for attorneys attempting to solicit investors to file premature and opportunistic claims against their advisors who sold GWG L Bonds, while the company is in the midst of its efforts to return as much value as possible to its L Bond holders through the bankruptcy proceeding.

As many of you know, I pride myself on frequent communication with my clients, and the GWG situation has been no exception to that practice. I have continued to communicate with my clients regarding the status of their investments and any additional information as it becomes available. If you are interested in accurate information regarding the bankruptcy proceeding of GWG, you can find the website where all documents and updates from that proceeding are posted if you google "Donlin Recano GWG". It is the first link that comes up. Unfortunately, this thread will not allow me to include the link myself.
I am eternally grateful for the business and support my clients have shown me over the years, and I hope this additional information corrects and clarifies some of the false claims that have been posted about me recently on this forum. I invite you to contact me directly if you have any questions or want to discuss any of these issues.

[LuvtheVillages]

Thank you, Michael Whitaker, for having the courage to respond here.

I believe it is possible that you also were duped.

The web site you referenced is to the claims adminstrator. It does not provide any new information. It does tell you where and how to file a claim for the bankruptcy.

This is from another attorney's website, (MDF Law) He says these are facts.

Fast Facts About GWG Holdings
*The company filed for bankruptcy in Texas on April 20, 2022.
*It has been under investigation by the Securities and Exchange Commission since at least October 2020. GWG told investors about the investigation in November 2021 – nearly a year after receiving the first subpoena.
*GWG’s accountants resigned in December 2021.
*GWG Holdings has a complicated and obtuse corporate structure. The majority of its assets are owned by affiliates that did not file for bankruptcy.
*Beginning in 2018, the principals of GWG began “investing” investors’ money in their own personal business ventures. These “investments” were not disclosed to investors. There is more information about these transactions in the graphic below.
*In public filings with the Securities and Exchange Commission, GWG Holdings stated it could not pay interest to bondholders unless it continued raising new money. These statements raise serious questions about the legitimacy of GWG’s business operations.
*GWG L Bonds were not credit rated nor were they insured

Notice that point 6 is the very definition of a Ponzi scheme.

Also from MDF Law--
Were L Bonds low risk?

No. Despite its marketing to the contrary, L Bonds were a high-risk investment. This is what the prospectus for GWG L Bonds says, “Investing in our L Bonds may be considered speculative and involves a high degree of risk, including the risk of losing your entire investment.” Unlike most conventional bonds, L Bonds were not credit rated by any rating agency (i.e. S&P or Moody’s) nor were they insured. What’s worse, L Bonds were subordinated to GWG Holdings’ other creditors. This means that other creditors will be paid back first, before L Bond holders, in the event of a bankruptcy.



NEVER put more than 4-5% of your portfolio in any one investment.

[retiredguy123]

This is Michael L. Whitaker of Michael Whitaker & Associates. I am writing to address some recent posts here (and comments to those posts) that contain misleading and outright false allegations about me, as well as misleading information regarding GWG L Bonds, an investment that some of my clients own. The purpose of this post is to provide readers with the relevant facts regarding myself and the services I provide to my clients in light of the false descriptions that some people have posted here. Unfortunately, I feel this response is necessary to defend my personal and professional reputation in hopes that readers are not misled by the false information in these postings.

First and foremost, I have been in the financial services field for 38 years. For about half of that time, I worked primarily in the insurance business and was not required to be registered with a broker-or investment advisor. I have a degree in finance from the University of South Florida and I am a Chartered Financial Consultant. I began my career in the financial services industry in 1984 in and around The Villages and have strived to provide each and every one of my clients with dedicated and client-focused advice and services. I have always strived to put the interests of my clients first and foremost. My investment recommendations are not driven by the commissions and fees that a particular investment may generate, but rather by what investments I reasonably believe are in the best interest of and appropriate for my clients, given their particular objectives, needs and circumstances. I do not charge my clients unreasonable or duplicative fees or commissions (as was falsely alleged in at least one of the postings).

It has been the honor and privilege of my lifetime to serve this community as a financial services professional. The false assertion that I would knowingly recommend a “scam” investment to any of my clients is as hurtful as it is wrong. Over the course of my career, the majority of the investments that I have recommended to my clients have performed well. However, as every investor must acknowledge, virtually all investments carry some risk with them. I am confident that you also would agree with me that financial advisors do not have a “crystal ball” and cannot be expected to accurately predict the future performance of the investments they recommend. Indeed, certain investments that were reasonable and appropriate when recommended may occasionally be adversely impacted by subsequent market forces outside of a financial advisor’s control. However, that does not mean that the investment recommendation, when made (often years earlier), was in any way improper or illegal.

Such is the case with GWG L Bonds, the investment that is mentioned in certain of the posts below. At the time that I made recommendations to certain clients to consider an investment in GWG L Bonds, that company had an outstanding track record of performance, and had never missed an interest payment or a redemption request. I submit to you that I had a reasonable basis for each recommendation I made to each client who purchased this product. However, subsequent events and market forces outside my control resulted in the issuer of the GWG L Bonds filing a Chapter 11 bankruptcy case in May 2022. This bankruptcy proceeding is ongoing, and the Debtor has advanced a bankruptcy plan to marshall the company’s substantial assets that, if approved, is likely to result in substantial distributions to investors. While the precise amount of any such distributions cannot be accurately predicted at this moment, it likewise cannot be accurately predicted whether, or to what extent, investors will ultimately realize any losses on this investment. Notably, the allegation that GWG is a “Ponzi-scheme” is not accurate and flat out false. In fact, many of the allegations posted here regarding GWG have been pulled directly from websites for attorneys attempting to solicit investors to file premature and opportunistic claims against their advisors who sold GWG L Bonds, while the company is in the midst of its efforts to return as much value as possible to its L Bond holders through the bankruptcy proceeding.

As many of you know, I pride myself on frequent communication with my clients, and the GWG situation has been no exception to that practice. I have continued to communicate with my clients regarding the status of their investments and any additional information as it becomes available. If you are interested in accurate information regarding the bankruptcy proceeding of GWG, you can find the website where all documents and updates from that proceeding are posted if you google "Donlin Recano GWG". It is the first link that comes up. Unfortunately, this thread will not allow me to include the link myself.
I am eternally grateful for the business and support my clients have shown me over the years, and I hope this additional information corrects and clarifies some of the false claims that have been posted about me recently on this forum. I invite you to contact me directly if you have any questions or want to discuss any of these issues.
Thank you for posting. Can you clear something up? Some posters have stated that you told them that you are a fiduciary, but your post doesn't include the word fiduciary in it, and your website does not claim that you are a fiduciary. Do you provide your clients a letter clearly stating that you are representing them as a fiduciary? If not, do you inform them that you are not acting as a fiduciary when providing advice?

Also, the OP claims that you told them that the GWG L bonds was not a "high risk" investment and led them to believe that it was a safe investment. But, the GWG L bond prospectus very clearly states that it is a high risk investment. So, is the OP lying or just mistaken?

[mike1206?]

This post is from Michael J. Whitaker of Michael Whitaker & Associates.

I would like to set the record straight regarding a post that was made about me and my personal life. Yes, I was arrested in February of 2020. At the time, I was going through an exceedingly difficult divorce, and a challenging time in my life. The charges against me were made by my now ex-wife and were not true. The charge of witness tampering was completely dropped. I plead “no contest” to the battery charge. I will say without going into too much personal detail, it was in the best interest of my children to plead no contest to the battery charge. Any attorney that is going to post comments trying to defame someone, or make them look bad, should post both sides of the story instead of putting someone down to attract business, respectfully.

Let me also say that I have been in the financial services industry since 2008. I hold 2-15 insurance, series 7, and series 66 licenses that I have worked very hard for. I always have, and always will try and do for my clients what I feel is best for them. I am supremely confident at least the vast majority of my clients that have been with me for some time would say that I am a good natured, caring, hardworking man. I care about my clients. I try and do the right thing even if it means sometimes, I do not make any money doing it.

Furthermore, I am independent, and have no financial interest in investing my clients' assets in certain investments over others. I start with what makes sense for the client and work it backwards from there.

[Plinker]

This post is from Michael J. Whitaker of Michael Whitaker & Associates.

I would like to set the record straight regarding a post that was made about me and my personal life. Yes, I was arrested in February of 2020. At the time, I was going through an exceedingly difficult divorce, and a challenging time in my life. The charges against me were made by my now ex-wife and were not true. The charge of witness tampering was completely dropped. I plead “no contest” to the battery charge. I will say without going into too much personal detail, it was in the best interest of my children to plead no contest to the battery charge. Any attorney that is going to post comments trying to defame someone, or make them look bad, should post both sides of the story instead of putting someone down to attract business, respectfully.

Let me also say that I have been in the financial services industry since 2008. I hold 2-15 insurance, series 7, and series 66 licenses that I have worked very hard for. I always have, and always will try and do for my clients what I feel is best for them. I am supremely confident at least the vast majority of my clients that have been with me for some time would say that I am a good natured, caring, hardworking man. I care about my clients. I try and do the right thing even if it means sometimes, I do not make any money doing it.

Furthermore, I am independent, and have no financial interest in investing my clients' assets in certain investments over others. I start with what makes sense for the client and work it backwards from there.

Thank you for responding, Mr. Whitaker.
A ChFC (Chartered Financial Consultant) and a CFP (Certified Financial Planner) are held to the fiduciary standard. You are a ChFC. Yet, I still have not read in your posts where you clearly state that you agree that you are a fiduciary.
It appears you may have acted in the far less stringent “suitability standard” with regard to the sale of these L-bonds. Would you please answer the following questions so we can resolve some of the concerns that the posts raise?
1. Are you a fiduciary?
2. Have you ALWAYS acted as a fiduciary while representing your clients?
3. Did you charge an AUM fee on these L-bonds?
4. Did you continue to sell these L-bonds after the SEC opened an investigation?
5. Your free dinner invitation clearly states: “Investing in the above programs may be considered speculative and involves a high degree of risk, including the risk of a substantial loss of investment or the entire loss of investment “. How can you possibly believe this type of an investment would be appropriate for retired seniors?
These are straightforward questions that deserve a clear and concise answer.

[MDFlyer]

This post is from Michael J. Whitaker of Michael Whitaker & Associates.

I would like to set the record straight regarding a post that was made about me and my personal life. Yes, I was arrested in February of 2020. At the time, I was going through an exceedingly difficult divorce, and a challenging time in my life. The charges against me were made by my now ex-wife and were not true. The charge of witness tampering was completely dropped. I plead “no contest” to the battery charge. I will say without going into too much personal detail, it was in the best interest of my children to plead no contest to the battery charge. Any attorney that is going to post comments trying to defame someone, or make them look bad, should post both sides of the story instead of putting someone down to attract business, respectfully.

Let me also say that I have been in the financial services industry since 2008. I hold 2-15 insurance, series 7, and series 66 licenses that I have worked very hard for. I always have, and always will try and do for my clients what I feel is best for them. I am supremely confident at least the vast majority of my clients that have been with me for some time would say that I am a good natured, caring, hardworking man. I care about my clients. I try and do the right thing even if it means sometimes, I do not make any money doing it.

Furthermore, I am independent, and have no financial interest in investing my clients' assets in certain investments over others. I start with what makes sense for the client and work it backwards from there.
Mike1206? Who are you anyway? I guess that once you deceive you always deceive. Even in the face of growing evidence that you did not act as a fiduciary with your clients you now are telling people you are Michael L Whitaker in one message and then you are saying you are Michael J Whitaker in another. How can the people, most of which, are or have been, your clients believe anything you say.

[SallyB]

This is Michael L. Whitaker of Michael Whitaker & Associates. I am writing to address some recent posts here (and comments to those posts) that contain misleading and outright false allegations about me, as well as misleading information regarding GWG L Bonds, an investment that some of my clients own. The purpose of this post is to provide readers with the relevant facts regarding myself and the services I provide to my clients in light of the false descriptions that some people have posted here. Unfortunately, I feel this response is necessary to defend my personal and professional reputation in hopes that readers are not misled by the false information in these postings.

First and foremost, I have been in the financial services field for 38 years. For about half of that time, I worked primarily in the insurance business and was not required to be registered with a broker-or investment advisor. I have a degree in finance from the University of South Florida and I am a Chartered Financial Consultant. I began my career in the financial services industry in 1984 in and around The Villages and have strived to provide each and every one of my clients with dedicated and client-focused advice and services. I have always strived to put the interests of my clients first and foremost. My investment recommendations are not driven by the commissions and fees that a particular investment may generate, but rather by what investments I reasonably believe are in the best interest of and appropriate for my clients, given their particular objectives, needs and circumstances. I do not charge my clients unreasonable or duplicative fees or commissions (as was falsely alleged in at least one of the postings).

It has been the honor and privilege of my lifetime to serve this community as a financial services professional. The false assertion that I would knowingly recommend a “scam” investment to any of my clients is as hurtful as it is wrong. Over the course of my career, the majority of the investments that I have recommended to my clients have performed well. However, as every investor must acknowledge, virtually all investments carry some risk with them. I am confident that you also would agree with me that financial advisors do not have a “crystal ball” and cannot be expected to accurately predict the future performance of the investments they recommend. Indeed, certain investments that were reasonable and appropriate when recommended may occasionally be adversely impacted by subsequent market forces outside of a financial advisor’s control. However, that does not mean that the investment recommendation, when made (often years earlier), was in any way improper or illegal.

Such is the case with GWG L Bonds, the investment that is mentioned in certain of the posts below. At the time that I made recommendations to certain clients to consider an investment in GWG L Bonds, that company had an outstanding track record of performance, and had never missed an interest payment or a redemption request. I submit to you that I had a reasonable basis for each recommendation I made to each client who purchased this product. However, subsequent events and market forces outside my control resulted in the issuer of the GWG L Bonds filing a Chapter 11 bankruptcy case in May 2022. This bankruptcy proceeding is ongoing, and the Debtor has advanced a bankruptcy plan to marshall the company’s substantial assets that, if approved, is likely to result in substantial distributions to investors. While the precise amount of any such distributions cannot be accurately predicted at this moment, it likewise cannot be accurately predicted whether, or to what extent, investors will ultimately realize any losses on this investment. Notably, the allegation that GWG is a “Ponzi-scheme” is not accurate and flat out false. In fact, many of the allegations posted here regarding GWG have been pulled directly from websites for attorneys attempting to solicit investors to file premature and opportunistic claims against their advisors who sold GWG L Bonds, while the company is in the midst of its efforts to return as much value as possible to its L Bond holders through the bankruptcy proceeding.

As many of you know, I pride myself on frequent communication with my clients, and the GWG situation has been no exception to that practice. I have continued to communicate with my clients regarding the status of their investments and any additional information as it becomes available. If you are interested in accurate information regarding the bankruptcy proceeding of GWG, you can find the website where all documents and updates from that proceeding are posted if you google "Donlin Recano GWG". It is the first link that comes up. Unfortunately, this thread will not allow me to include the link myself.
I am eternally grateful for the business and support my clients have shown me over the years, and I hope this additional information corrects and clarifies some of the false claims that have been posted about me recently on this forum. I invite you to contact me directly if you have any questions or want to discuss any of these issues.
In response to your reply Michael

* Are you or are you not a fiduciary advisor? As stated in this thread you carry the CHFC does that make you a fiduciary advisor? You have told your clients that you are.
*Did you sell GWG L Bonds as a HIGH-RISK ALTERNATIVE product or did you sell it like my parents thought it was a SAFE product where their principle was safe from market loss.
You stated that you "Investment I reasonably believed are in the best interest of and appropriate for my clients" how can it be both High-risk per their prospectus and appropriate for your senior clients.
*SEC website states that GWG and brokers did not follow Reg Bl's - "Care Obligation: brokers did not exercise reasonable diligence, care and skill to understand the risk in selling GWG L Bonds.
*SEC 10/2020 subpoena GWG about their accounting practices and their merge with Beneficent. GWG used new investor money to support and develop Beneficent. 2022 GWG and Beneficent separated.
*FINRA states GWG L Bonds sales to elderly customer unsuitable. What is the average age of your customers? 70?
* You state "However, subsequent events and MARKET FORCES outside my control"
I found this NOT a creditable statement. GWG for the last 5 years in business had to use new bondholders' money to pay existing bondholders their monthly interest (Ponzi Scheme) they moved over $250 Million dollar to Beneficent (why the SEC started the investigation). GWG L Bonds were not sold on the open market so how could Market Forces have anything to do with its downfall?
* You stated that calling GWG Ponzi Scheme as a flat out lie. Then what do you call a company that Robs Peter to Pay Paul? It is a fact that the GWG told SEC that they needed to sell new bonds to pay their existing bondholders. According to the SEC website.
*You also stated that most of the information on the web about GWG is from lawyers that just want to sue brokers. I want you to know I have been researching GWG for all different sites, SEC, FINRA, WallStreet, lawyers, bloggers, and so on. All have stated that GWG L Bonds as a High-Risk investment and not suitable for seniors or conservative to moderate investors. I can't image all your hundreds of clients that you sold these junk bonds to are listed as Speculative Investors. Junk-bonds are the one of highest-risk
investment.
*What happens if GWG does file Chapter 7 Bankruptcy?
*RED FLAGs you should have caught. GWG stop buying new life policies in 2019 (made there no market for the L Bonds) GWG missed their annual report in 2020, SEC investigation into GWG 2020. If you were doing your Due Diligence shouldn't have known something was wrong? You didn't need a "crystal ball" you just needed to do what you told your clients that you do and act in their best interest.

My last question to you Michael is when YOU knew GWG missed their annual report in the early part of 2020 why didn't you investigate "WHY". Did you look into their company at all?
You had from 1/2020 to 12/2021 to get out, did you give your clients opportunity to sell their bonds even if there was a penalty to sell them? Because these bonds are not sold on the open market, they had to rely solely on you to get out during the open window.

How many clients are holding GWG with you, you once bragged that you have about have $10 million in GWG, to me that means you must have hundreds of clients holding their breath trusting in you that they will get their money back.

Last thing that really gets me is you don't want us to trust the facts the lawyers (you called them lying and misleading) are saying but didn't you in fact send an email to your clients from Newbridge lawyers about how you and Newbridge will come back and sue anyone that sues the two of you, that you will come back and sue them if GWG somehow comes out of this, can you explain that email?

I am not trying to beat a dead horse here, but I truly don't think you are being 100% up front with your clients or did you just turn a blind eye.

[MDFlyer]

GWG going bankrupt after so many warning signs were the straw that broke the camel's back for me. I liquidated my accounts with Michael L Whitaker with the exception of GWG and FS. FS I found out can not be sold. What a surprise, Michael L Whitaker put a person nearly 80 years old in a stock that cannot be sold. The exception is a third-party sale at a greatly reduced price. Fiduciary I don't think so.

[SallyB]

GWG going bankrupt after so many warning signs were the straw that broke the camel's back for me. I liquidated my accounts with Michael L Whitaker with the exception of GWG and FS. FS I found out can not be sold. What a surprise, Michael L Whitaker put a person nearly 80 years old in a stock that cannot be sold. The exception is a third-party sale at a greatly reduced price. Fiduciary I don't think so.
I am sorry you lost money, there another product that Michael sold you FS, what is that?

[Plinker]

Mike1206? Who are you anyway? I guess that once you deceive you always deceive. Even in the face of growing evidence that you did not act as a fiduciary with your clients you now are telling people you are Michael L Whitaker in one message and then you are saying you are Michael J Whitaker in another. How can the people, most of which, are or have been, your clients believe anything you say.

The plot thickens:
Michael L. Whitaker is, apparently, the father of Michael J. Whitaker. The father has 4 disclosures of negligence and breach of fiduciary duty. The son has 3 disclosures. Two are for negligence and breach of fiduciary duty and the third is for battery and witness tampering. It appears that both are replying to this post. As such, both sold these highly speculative, high risk bonds to retired seniors. Due to potential litigation, my guess is that answers to our posts may not be forthcoming.

[Gpsma]

The plot thickens:
Michael L. Whitaker is, apparently, the father of Michael J. Whitaker. The father has 4 disclosures of negligence and breach of fiduciary duty. The son has 3 disclosures. Two are for negligence and breach of fiduciary duty and the third is for battery and witness tampering. It appears that both are replying to this post. As such, both sold these highly speculative, high risk bonds to retired seniors. Due to potential litigation, my guess is that answers to our posts may not be forthcoming.

Without any details, i think it would be speculative to assume that just because these high risk investments were sold to retired seniors that Mr Whitaker did something wrong. There are many retired seniors down here with substantial portfolios where a high risk investment may be appropriate given their risk tolerance.

[MDFlyer]

Without any details, i think it would be speculative to assume that just because these high risk investments were sold to retired seniors that Mr Whitaker did something wrong. There are many retired seniors down here with substantial portfolios where a high risk investment may be appropriate given their risk tolerance.
It doesn't make any difference how much money a person has to invest, if they are not properly advised then Whitaker did wrong. In my case there was not much money to be taking risks with and, my wife and I, specifically told Michael L Whitaker that we did not want to be in any high-risk stock, bonds, or anything where we could suffer a loss of principal. I, personally, have been on to Michael L Whitaker for several years when he screwed up my son's meager investment after having been given instructions on his risk tolerance. We even approached Whitaker with our concerns several times and his reply was that our investments were NOT invested at high risk.

[Gpsma]

It doesn't make any difference how much money a person has to invest, if they are not properly advised then Whitaker did wrong. In my case there was not much money to be taking risks with and, my wife and I, specifically told Michael L Whitaker that we did not want to be in any high-risk stock, bonds, or anything where we could suffer a loss of principal. I, personally, have been on to Michael L Whitaker for several years when he screwed up my son's meager investment after having been given instructions on his risk tolerance. We even approached Whitaker with our concerns several times and his reply was that our investments were NOT invested at high risk.

I agree with you that those investments should only have been sold to those who can tolerate the risk and potential losses.
I had a client once, of limited resources and income, who was sold tax shelters.
When tax shelters went bust she lost most of her investments.
Once again she trusted a small investment company instead of investing with bigger more reputable firms.
She sued, or went to arbitration, and she lost. The reason she lost was because they determined she was a reasonably intelligent person and should have made herself aware of what she was purchasing?
Did you look at these investments and present any questions to Whitaker…or did you blindly trust him?

[MDFlyer]

I agree with you that those investments should only have been sold to those who can tolerate the risk and potential losses.
I had a client once, of limited resources and income, who was sold tax shelters.
When tax shelters went bust she lost most of her investments.
Once again she trusted a small investment company instead of investing with bigger more reputable firms.
She sued, or went to arbitration, and she lost. The reason she lost was because they determined she was a reasonably intelligent person and should have made herself aware of what she was purchasing?
Did you look at these investments and present any questions to Whitaker…or did you blindly trust him?
If I had to describe Michael L Whitaker and Associates I would say Mike is a smooth talker. By that I mean he is gifted in the way he can present things to you to make you feel confident and assured that he is giving you the right advice for your situation. More than once I had encouraged my wife to question Mike Whitaker about questionable investments and why he was advising her to buy or sell certain investments. As recently as last summer my wife made an appointment with Mike Whitaker to explain things and possibly close her accounts with Michael L Whitaker and Associates. I even sat in the car in his parking lot while the one and one half hour meeting went on in his office with my wife. At the end of the meeting, she came out glowing about all the wonderful things he told her he was doing for her, including GWG. About GWG he said NOT to Worry GWG had plenty of assets and we would or should get all of our money back since we were in the number one spot to be reimbursed first from any assets they had. I have heard on this forum that the I-bonds are not the highest but rather the lowest on the list of people that might get some return from GWG.

[MDFlyer]

This morning I got a personal message from Michael Whitaker asking me to go back and post the corrections to the mistruths that I had made on the forum. Yes, he guessed who I was by my tag MDFLYER since he knew I was a corporate helicopter pilot and from Maryland. I made no mistruths and will not make any corrections.

[Gpsma]

If I had to describe Michael L Whitaker and Associates I would say Mike is a smooth talker. By that I mean he is gifted in the way he can present things to you to make you feel confident and assured that he is giving you the right advice for your situation. More than once I had encouraged my wife to question Mike Whitaker about questionable investments and why he was advising her to buy or sell certain investments. As recently as last summer my wife made an appointment with Mike Whitaker to explain things and possibly close her accounts with Michael L Whitaker and Associates. I even sat in the car in his parking lot while the one and one half hour meeting went on in his office with my wife. At the end of the meeting, she came out glowing about all the wonderful things he told her he was doing for her, including GWG. About GWG he said NOT to Worry GWG had plenty of assets and we would or should get all of our money back since we were in the number one spot to be reimbursed first from any assets they had. I have heard on this forum that the I-bonds are not the highest but rather the lowest on the list of people that might get some return from GWG.

Why werent u at the meeting with your wife? Is your wife more financially astute than you? Or are you like so many spouses…not insulting you…who give up total control of the finances?

[Plinker]

It appears that Mr. Whitaker has chosen not to answer our questions. Crickets are chirping, Mr. Whitaker. Your silence speaks volumes. The OP can file a formal complaint via the FINRA website. Google “File a FINRA Broker Complaint”. Scroll to the FINRA.org website.
Also, the following link describes another financial advisor in The Villages that was aggressively selling these high-risk L-bonds to seniors and ended up with around 17 disclosures and at least 12 SEC awards.
Mr. Whittaker settled one disclosure complaint for $14,999, according to the FINRA website. I suspect Mr. Whitaker is going to have his hands full defending the sale of these bonds as a precedent has been arbitrated.

Complaint Filed Against National Securities in The Villages, Florida Over Mark Cline’s Sale of GWG L Bonds - EIN Presswire (https://www.einnews.com/pr_news/574709371/complaint-filed-against-national-securities-in-the-villages-florida-over-mark-cline-s-sale-of-gwg-l-bonds)

[MDFlyer]

Why werent u at the meeting with your wife? Is your wife more financially astute than you? Or are you like so many spouses…not insulting you…who give up total control of the finances?
Let's just say that my understanding of finances and financial advisors is more finely tuned. We discussed it all prior to the meeting and I knew that I was not going to like the outcome. After several meetings between the three of us or with Mike and his associates, I knew what he was going to say.

[MDFlyer]

It appears that Mr. Whitaker has chosen not to answer our questions. Crickets are chirping, Mr. Whitaker. Your silence speaks volumes. The OP can file a formal complaint via the FINRA website. Google “File a FINRA Broker Complaint”. Scroll to the FINRA.org website.
Also, the following link describes another financial advisor in The Villages that was aggressively selling these high-risk L-bonds to seniors and ended up with around 17 disclosures and at least 12 SEC awards.
Mr. Whittaker settled one disclosure complaint for $14,999, according to the FINRA website. I suspect Mr. Whitaker is going to have his hands full defending the sale of these bonds as a precedent has been arbitrated.

Complaint Filed Against National Securities in The Villages, Florida Over Mark Cline’s Sale of GWG L Bonds - EIN Presswire (https://www.einnews.com/pr_news/574709371/complaint-filed-against-national-securities-in-the-villages-florida-over-mark-cline-s-sale-of-gwg-l-bonds)
Count us in for two with FINRA. Found out today that Michael charged my wife a fee to sell off our other bad investments that he put us in. Some nerve...............

[Gpsma]

Let's just say that my understanding of finances and financial advisors is more finely tuned. We discussed it all prior to the meeting and I knew that I was not going to like the outcome. After several meetings between the three of us or with Mike and his associates, I knew what he was going to say.

If u are financially astute..why did u buy what he suggested? I agree, in principle, he probably advised people incorrectly…but it is the responsibilty of those that invest to carefully review wht is suggested.

[MDFlyer]

If u are financially astute..why did u buy what he suggested? I agree, in principle, he probably advised people incorrectly…but it is the responsibilty of those that invest to carefully review wht is suggested.
Why did I buy what he suggested? People paid me to fly them around in airplanes and helicopters and for some 30-plus years, they safely got what they paid for. I paid for advice to someone I thought would tell me the facts about products I could invest in and would comply with the risk factor I informed them of. Instead, as it turns out Michael L Whitaker and Associates had high commissions in mind and not my risk tolerance when advising me to purchase GWG, FS, and other high risk investments.

[MDFlyer]

Whitaker has stated, in a private message to me, that he will not respond and lower himself to the level we are. He cannot admit, with positive answers, to the questions you ask because then Michael L Whitaker and Associates would not have any defense when FINRA comes knocking on his door.

[Eg_cruz]

[QUOTE=MDFlyer;2205145]This morning I got a personal message from Michael Whitaker asking me to go back and post the corrections to the mistruths that I had made on the forum. Yes, he guessed who I was by my tag MDFLYER since he knew I was a corporate helicopter pilot and from Maryland. I made no mistruths and will not make any corrections.[

[LuvtheVillages]

Let’s hope that the Whittaker’s have a large Errors and Omissions insurance policy.

[MDFlyer]

Let’s hope that the Whittaker’s have a large Errors and Omissions insurance policy.
From the looks of his record of FINRA reports, I am sure he does. Once the GWG case is settled and the people Mike Whitaker has told not to worry GWG has plenty of money to settle the amount plus interest, start finding out they will get little or no return, FINRA lines will be very busy with people filing complaints.

[MDFlyer]

Has any of Mike Whitaker's clients gotten emails from Mike explaining, falsely, why he is or has not been acting as a fiduciary for them? I think he may be trying to ward off clients from filing complaints.

[Plinker]

From the looks of his record of FINRA reports, I am sure he does. Once the GWG case is settled and the people Mike Whitaker has told not to worry GWG has plenty of money to settle the amount plus interest, start finding out they will get little or no return, FINRA lines will be very busy with people filing complaints.

It is imperative that prior to hiring a financial advisor you first visit the FINRA website and click on the brokercheck tab. For those that currently have an advisor, I encourage you to perform the same search. Many fiduciary advisors have no disclosures or you may be shocked at what you find. The Whitaker firm website lists a total of three Whitaker’s. Between the three, they have a total of 13 disclosures. This is a huge red flag and, IMO, should immediately remove this firm from consideration. Lack of due diligence can be hazardous to your wealth.

[dewilson58]

Let’s hope that the Whittaker’s have a large Errors and Omissions insurance policy.

E&O does not cover intentional.

[Caymus]

Would Whitaker receive a higher commission/fee from this as compared to a safer product?

[Toymeister]

Would Whitaker receive a higher commission/fee from this as compared to a safer product?

Almost certainly, depending on what the safer product is.

[MDFlyer]

Almost certainly, depending on what the safer product is.
Plus GWG and other risky companies are the ones that "sponsor" the dinners that draw customers to Michael L Whitaker and Associates firm. They did not spend this money and put on the dinners because they just like you.

[SallyB]

Whitaker has stated, in a private message to me, that he will not respond and lower himself to the level we are. He cannot admit, with positive answers, to the questions you ask because then Michael L Whitaker and Associates would not have any defense when FINRA comes knocking on his door.
Shows his character. Calls us misinformed and liars, when ask to clarify he says he will not lower himself.
Tells me two things, first he has zero prove to back up his claims that GWG was not a Ponzi scheme, second, he doesn't want to answer because he knows we are right and he missed sold GWG to seniors, claiming them to be safer than the market.

[Normal]

I would recommend a nationwide well known firm instead of local?

[Plinker]

I would recommend a nationwide well known firm instead of local?

I have always managed our assets and am a big fan of Vanguard. My wife will contact them upon my demise and utilize their advisory services. They charge a very low 0.30% AUM fee. Granted, they will utilize Vanguard funds but this is to your advantage. They are well known for having some of the lowest expense ratio fees on the planet. You can always call and speak to a CFP. They will have no reservations confirming that they must follow the fiduciary standard. And they will never sell you high-risk Ponzi bonds.

[MDFlyer]

Michael L Whitaker and Associates is sending out disclaimers about NOT acting as a Fiduciary. I assume this is being done to dissuade any clients from going through the process of filing a claim against his company or him personally. Has anyone, other than us gotten such an email? His contention is that he did not charge a maintenance fee so he did not have the obligation to act as a Fiduciary. ???

[retiredguy123]

Michael L Whitaker and Associates is sending out disclaimers about NOT acting as a Fiduciary. I assume this is being done to dissuade any clients from going through the process of filing a claim against his company or him personally. Has anyone, other than us gotten such an email? His contention is that he did not charge a maintenance fee so he did not have the obligation to act as a Fiduciary. ???
I don't think being a fiduciary has anything to do with charging a maintenance fee. But, if he advised clients about their qualified retirement account, such as an IRA, a 401K, or 403B accounts, then the advisor is required by Federal law to act as a fiduciary. This is a law created by the Department of Labor. See Post No. 33 for a link to the law's requirements.

[Plinker]

I don't think being a fiduciary has anything to do with charging a maintenance fee. But, if he advised clients about their qualified retirement account, such as an IRA, a 401K, or 403B accounts, then the advisor is required by Federal law to act as a fiduciary. This is a law created by the Department of Labor. See Post No. 33 for a link to the law's requirements.

Here is Mr. Whitaker’s problem (among others):
All ChFC and CFP are fiduciaries, regardless of who they advise. Mr. Whitaker is a ChFC. Therefore, Mr. Whitaker is a fiduciary. Mr. Whitaker can’t turn on and off his fiduciary duties like a light switch. The ChFC takes the following oath-

From the American College of Financial Services:
Becoming a Chartered Financial Consultant® involves taking the Professional Pledge, which reads:

"In all my professional relationships, I pledge myself to the following rule of ethical conduct: I shall, in light of all conditions surrounding those I serve, which I shall make every conscientious effort to ascertain and understand, render that service which, in the same circumstances, I would apply to myself."

“This commitment to a fiduciary duty shows your prospective and existing clients that you will always place their needs above your own. In a world where clients must choose between working with independent advisors, large brokerage firms or even no advisor at all, your willingness to hold sacred the best interest of your clients will help you gain a competitive advantage and secure a book of business that trusts you, depends on your expertise, and sticks around for the long term.”

I wonder what dollar amount of GWG L-bonds Mr. Whitaker personally owns.
As you can see, Mr. Whitaker likely has many dark days ahead.

[SallyB]

Michael L Whitaker and Associates is sending out disclaimers about NOT acting as a Fiduciary. I assume this is being done to dissuade any clients from going through the process of filing a claim against his company or him personally. Has anyone, other than us gotten such an email? His contention is that he did not charge a maintenance fee so he did not have the obligation to act as a Fiduciary. ???
Are you kidding me? Well, he should did tell my parents and their friends that he was a fiduciary. What a piece of work.
And my parents have GWG L Bonds in their IRA.

[Gpsma]

Im not defending Mr Whitaker. Perhaps he gabe wrong advise. Perhaps he sold investments that were not appropriate.

BUT…why did many of u go with him for advise?…gave u a rubber chicken dinner? Sold u a bill of goods that he was yoir buddy and best advisor?

Sorry people lost money with him….bit why go to a small investment business here.?…oh you got a meal?

Schwab, Fidelity, Vanguard..etc, etc, etc….they never serve u a sandwich to get your business.

[MDFlyer]

Im not defending Mr Whitaker. Perhaps he gabe wrong advise. Perhaps he sold investments that were not appropriate.

BUT…why did many of u go with him for advise?…gave u a rubber chicken dinner? Sold u a bill of goods that he was yoir buddy and best advisor?

Sorry people lost money with him….bit why go to a small investment business here.?…oh you got a meal?

Schwab, Fidelity, Vanguard..etc, etc, etc….they never serve u a sandwich to get your business.
According to Michael L Whitaker, Michael L Whitaker and Associates has been in business for 38 years. Another lie is when you use it as part of your title with the intent to influence clients to use your services. He, himself may have been a carnival insurance salesman or something else, low level, in the financial industry for that many years but these jobs, certainly do not qualify you to provide advice to clients and particularly seniors who put their trust in you.

[MDFlyer]

Here is Mr. Whitaker’s problem (among others):
All ChFC and CFP are fiduciaries, regardless of who they advise. Mr. Whitaker is a ChFC. Therefore, Mr. Whitaker is a fiduciary. Mr. Whitaker can’t turn on and off his fiduciary duties like a light switch. The ChFC takes the following oath-

From the American College of Financial Services:
Becoming a Chartered Financial Consultant® involves taking the Professional Pledge, which reads:

"In all my professional relationships, I pledge myself to the following rule of ethical conduct: I shall, in light of all conditions surrounding those I serve, which I shall make every conscientious effort to ascertain and understand, render that service which, in the same circumstances, I would apply to myself."

“This commitment to a fiduciary duty shows your prospective and existing clients that you will always place their needs above your own. In a world where clients must choose between working with independent advisors, large brokerage firms or even no advisor at all, your willingness to hold sacred the best interest of your clients will help you gain a competitive advantage and secure a book of business that trusts you, depends on your expertise, and sticks around for the long term.”

I wonder what dollar amount of GWG L-bonds Mr. Whitaker personally owns.
As you can see, Mr. Whitaker likely has many dark days ahead.
Right On - If Michael L Whitaker and Associates, and employees are going to claim the initials behind their names and in your advertising then you are stuck with providing the performance that comes along with them. There is no performance curve that you can operate on dependent on what you charge. To even send us an email suggesting that we, your clients, knew that you were not giving us advise that was in our best interest is insulting. What else would we have been expecting?

[Toymeister]

Right On - If Michael L Whitaker and Associates, and employees are going to claim the initials behind their names and in your advertising then you are stuck with providing the performance that comes along with them. There is no performance curve that you can operate on dependent on what you charge. To even send us an email suggesting that we, your clients, knew that you were not giving us advise that was in our best interest is insulting. What else would we have been expecting?
If he committed to this pledge and now he is repudiating it in writing it seems logical that, in addition to whatever action an impacted party takes, then he could have a complaint against him by the organization that grants CLU. Much like the State bar takes action against wayward Esquires (lawyers).

Perhaps MDFlyer would like to post the details of how to do this. One complaint is irritating several complaints indicate a pattern and is more likely to result in action. Finally, a company which he represents, based in part upon the CLU designation, would certainly like to know his CLU has been acted upon. Granted, this is a long shot.

[MDFlyer]

If he committed to this pledge and now he is repudiating it in writing it seems logical that, in addition to whatever action an impacted party takes, then he could have a complaint against him by the organization that grants CLU. Much like the State bar takes action against wayward Esquires (lawyers).

Perhaps MDFlyer would like to post the details of how to do this. One complaint is irritating several complaints indicate a pattern and is more likely to result in action. Finally, a company which he represents, based in part upon the CLU designation, would certainly like to know his CLU has been acted upon. Granted, this is a long shot.
For now, I am working with others on Michael L Whitaker's written confession that he was not and did not provide my wife with advice that ultimately led to the loss of many thousands of dollars. I will publish Michael L Whitaker's email in due time if this thread is still active.

[Toymeister]

For now, I am working with others on Michael L Whitaker's written confession that he was not and did not provide my wife with advice that ultimately led to the loss of many thousands of dollars. I will publish Michael L Whitaker's email in due time if this thread is still active.

Very well, I'll do this for you: CLU status can be revoked for misconduct or breaching the code of ethics. Per Investopedia

CLU is granted by the American College of Financial Services their email contact can be found here: Contact Us | The American College of Financial Services (https://www.theamericancollege.edu/contact-us)

[MDFlyer]

For now, I am working with others on Michael L Whitaker's written confession that he was not and did not provide my wife with advice that ultimately led to the loss of many thousands of dollars. I will publish Michael L Whitaker's email in due time if this thread is still active.
Did anyone else that is following this thread get such a letter from Michael L Whitaker and Associates?

[Toymeister]

Did anyone else that is following this thread get such a letter from Michael L Whitaker and Associates?

Interesting info shared with MD on this

[SallyB]

If he committed to this pledge and now he is repudiating it in writing it seems logical that, in addition to whatever action an impacted party takes, then he could have a complaint against him by the organization that grants CLU. Much like the State bar takes action against wayward Esquires (lawyers).

Perhaps MDFlyer would like to post the details of how to do this. One complaint is irritating several complaints indicate a pattern and is more likely to result in action. Finally, a company which he represents, based in part upon the CLU designation, would certainly like to know his CLU has been acted upon. Granted, this is a long shot.
Quick question: can a CHFC (Chartered Financial Consultant) have fiduciary duty on one of your accounts but not another one.
Example: Fiduciary duty on IRA but not on Individual, Joint or Trust accounts
Fiduciary duty on Managed accounts but not on Fee Base accounts
If all your accounts are with a broker without or with CHFC like Michael, would he not have the fiduciary duty on ALL your accounts he is overseeing / managing?

[retiredguy123]

Quick question: can a CHFC (Chartered Financial Consultant) have fiduciary duty on one of your accounts but not another one.
Example: Fiduciary duty on IRA but not on Individual, Joint or Trust accounts
Fiduciary duty on Managed accounts but not on Fee Base accounts
If all your accounts are with a broker without or with CHFC like Michael, would he not have the fiduciary duty on ALL your accounts he is overseeing / managing?
As I understand it, a financial advisor is not required to be a fiduciary, except when they are advising you about a retirement account. But, they can choose to be a fiduciary, in which case, they should provide their clients with a letter clearly stating that they will act as a fiducuary. Many advisors, especially those who sell insurance products, like annuities, do not want to be a fiduciary because they want to reduce the liability to their clients. Reading the information on Mr. Whitaker's website, it is pretty clear that he does not want to have a fiduciary relationship with his clients. For example, here is an excerpt from the financial planning section of his website:

"The calculations do not infer that our company, or the company providing the calculators, assumes any fiduciary duties."

[Toymeister]

Quick question: can a CHFC (Chartered Financial Consultant) have fiduciary duty on one of your accounts but not another one.
Example: Fiduciary duty on IRA but not on Individual, Joint or Trust accounts
Fiduciary duty on Managed accounts but not on Fee Base accounts
If all your accounts are with a broker without or with CHFC like Michael, would he not have the fiduciary duty on ALL your accounts he is overseeing / managing? In order to be. CLU, which Michael Sr. is, he has to conduct ALL business with the client as a fiduciary. I imagine it is the same for CHFC as is is granted by the same institution that grants the CLU credentials.

[MDFlyer]

It is my understanding that when you use the credentials, you are saying that is what you are representing yourself as. Michael L Whitaker, in every correspondence, identifies by (cut and pasted) Thank you,

Michael L. Whitaker

Chartered Financial Consultant

[MDFlyer]

As I understand it, a financial advisor is not required to be a fiduciary, except when they are advising you about a retirement account. But, they can choose to be a fiduciary, in which case, they should provide their clients with a letter clearly stating that they will act as a fiducuary. Many advisors, especially those who sell insurance products, like annuities, do not want to be a fiduciary because they want to reduce the liability to their clients. Reading the information on Mr. Whitaker's website, it is pretty clear that he does not want to have a fiduciary relationship with his clients. For example, here is an excerpt from the financial planning section of his website:

"The calculations do not infer that our company, or the company providing the calculators, assumes any fiduciary duties."
The planning Calculators section is not advice from Michael L Whitaker. It is for self-use and just points to other websites that provide information of various types. I agree that Michael L Whitaker does not directly support this information but even pointing to the sites may be considered as providing financial advice. Bottom line is that his disclaimer of not providing fiduciary information from these web pages ONLY applies to this area of his information. Face to Face advice is provided as a fiduciary in all other areas since he represents his business as a Chartered Financial Consultant.

[retiredguy123]

It is my understanding that when you use the credentials, you are saying that is what you are representing yourself as. Michael L Whitaker, in every correspondence, identifies by (cut and pasted) Thank you,

Michael L. Whitaker

Chartered Financial Consultant
Note that Michael "J" Whitaker is only listed as a "financial advisor" on the company website, with no professional designations. Also, note that the terms chfc, clu, and cfp are all private designations that require compliance with a private code of ethics, but I don't think they are held to any specific legal advisory duties by any state or Federal laws, except the Department of Labor law for retirement accounts.

[MDFlyer]

Cut an pasted from Michael L Whitaker and Associates web page : Michael L Whitaker & Associates, LLC is an independent firm with securities offered through Newbridge Securities Corporation, member FINRA, SIPC. Investment Advisory services through Newbridge Financial Services Group, Inc., an SEC Registered Investment Advisor.

FINRA at least requires agencies to be fiduciaries.

[Toymeister]

Note that Michael "J" Whitaker is only listed as a "financial advisor" on the company website, with no professional designations.

That's odd you are usually correct 123, but this time your a bit misleading here is a cut and paste from his publicly posted bio with his licenses:
Michael J. Whitaker
FINANCIAL ADVISOR
Michael began in the financial services industry in 2008 after completing his Bachelor’s Degree at the University of Central Florida with a business degree. The decision to get in the family business was an easy one. He started mentoring with his father, Michael L. Whitaker when he was 15 years old. He began his career with a 2 - 15 insurance license, and then went on to obtain the General Securities Series 7 certification as well as the Series 66 Fiduciary license. Michael loves solving complex problems for people using teamwork and bringing fresh ideas to the table. His Villages office is supported by two administrators and 3 associates. Michael understand the importance of planning ahead for family, as he has been blessed with three children.

[Nucky]

Sounds like its time for Vito & Rocco to show up. They should be getting out of Coleman by Friday I think.

Seriously my heart belled for your parents. I wish I could do something or suggest something that could help. Damn, these guys that pull these stunts.

[retiredguy123]

That's odd you are usually correct 123, but this time your a bit misleading here is a cut and paste from his publicly posted bio with his licenses:
Michael J. Whitaker
FINANCIAL ADVISOR
Michael began in the financial services industry in 2008 after completing his Bachelor’s Degree at the University of Central Florida with a business degree. The decision to get in the family business was an easy one. He started mentoring with his father, Michael L. Whitaker when he was 15 years old. He began his career with a 2 - 15 insurance license, and then went on to obtain the General Securities Series 7 certification as well as the Series 66 Fiduciary license. Michael loves solving complex problems for people using teamwork and bringing fresh ideas to the table. His Villages office is supported by two administrators and 3 associates. Michael understand the importance of planning ahead for family, as he has been blessed with three children.
I was pointing out that Michael Whitaker, the father, is presented on the website as a CLU and CHFC, but Michael Whitaker, the son, is presented only as a financial advisor, with no designations. I don't know if this has anything to do with their fiduciary duties or not.

[SallyB]

Cut an pasted from Michael L Whitaker and Associates web page : Michael L Whitaker & Associates, LLC is an independent firm with securities offered through Newbridge Securities Corporation, member FINRA, SIPC. Investment Advisory services through Newbridge Financial Services Group, Inc., an SEC Registered Investment Advisor.

FINRA at least requires agencies to be fiduciaries.
CASE DETAILS: The filed complaint alleges that defendants made false statements and/or concealed that: (i) Defendants intended to, and did, misappropriate GWG assets, (ii) GWG's life insurance investment business had failed, and (iii) GWG could only repay prior investors by issuing increasing amounts of securities to new investors. In essence, Defendants had turned GWG into a Ponzi scheme.
This is information from the Class Action Lawsuit.
Again I would like Michael, Mike1206 explain again how this is not a Ponzi Scheme

[Pairadocs]

From the on-line publication Investment News:

"In its bankruptcy filings, GWG Holdings reported $3.5 billion of total assets and almost $2.1 billion in total debt. While its assets reportedly outweigh its debt, GWG Holdings’ big hurdle is that many of those assets are illiquid, hard-to-value pools of life settlements, or unwanted insurance policies that consumers sell to investors like GWG Holdings, which can come with risks.

Leading up to the start of this year, GWG Holdings, a publicly traded company with the ticker GWGH, had struggled to file its audited quarterly and annual financial statements on time."


So it looks like there won't be much cash available until the people who sold their life insurance policies die.

From the same source:
"... the company’s collapse, including GWG’s defaulting on $13.6 million in payments in January to bondholders."

So they can't even make their interest payments!

Do your own research. Don't rely on what Whitaker sends you.

Do your own research on EVERYTHING, from a new floor to investing your money. Before retirement, many of our friends would urge us to go with them to a free lunch or dinner. We did attend a couple out of curiosity, but (of course) so much presented was like the old "putting lipstick on a pig", won't go into it all, most has been posted here. Decided long ago that NO ONE, not one single person no matter what they tell you, fiduciary, CFP, NO ONE cares as much about YOUR money as YOU DO. They may "care", of course, but let that sink in, no one cares as much as YOU DO about YOUR money or your welfare. That advice should always be in your mind, rather buying a golf cart, an automobile, or new windows, listen to it all, but just keep remembering the person talking is not MORE interested in your welfare that you are. When you find a person who says, "no, you don't need an whole new AC unit at all, who told you that ? Actually you just need a relatively inexpensive new --------- (fill in the blank), then you can BEGIN to trust that person...LOL ! A LOT of free lunches in the villages... it must be paying off for someone ? Mom always said, there is no "free" lunch..LOL !

[MDFlyer]

CASE DETAILS: The filed complaint alleges that defendants made false statements and/or concealed that: (i) Defendants intended to, and did, misappropriate GWG assets, (ii) GWG's life insurance investment business had failed, and (iii) GWG could only repay prior investors by issuing increasing amounts of securities to new investors. In essence, Defendants had turned GWG into a Ponzi scheme.
This is information from the Class Action Lawsuit.
Again I would like Michael, Mike1206 explain again how this is not a Ponzi Scheme
It would be interesting to know if Michael L Whitaker or any of his close family owned GWG and if they did when did they get rid of it. If they dumped it before GWG failed, while Michael L Whitaker was still telling us everything was OK and to hang on to what we had.

[MDFlyer]

Do your own research on EVERYTHING, from a new floor to investing your money. Before retirement, many of our friends would urge us to go with them to a free lunch or dinner. We did attend a couple out of curiosity, but (of course) so much presented was like the old "putting lipstick on a pig", won't go into it all, most has been posted here. Decided long ago that NO ONE, not one single person no matter what they tell you, fiduciary, CFP, NO ONE cares as much about YOUR money as YOU DO. They may "care", of course, but let that sink in, no one cares as much as YOU DO about YOUR money or your welfare. That advice should always be in your mind, rather buying a golf cart, an automobile, or new windows, listen to it all, but just keep remembering the person talking is not MORE interested in your welfare that you are. When you find a person who says, "no, you don't need an whole new AC unit at all, who told you that ? Actually you just need a relatively inexpensive new --------- (fill in the blank), then you can BEGIN to trust that person...LOL ! A LOT of free lunches in the villages... it must be paying off for someone ? Mom always said, there is no "free" lunch..LOL !
So very TRUE, but people have to trust others to help them in matters that they don't understand or don't understand fully. You cannot go through life being distrustful or suspicious of everyone. When it is pointed out, as with Michael L. Whitaker and Associates, they need to be singled out and made examples of. The state, college, and other agencies let the public down in this case. Inaction by these agencies cost us thousands perhaps millions of dollars. With so many fillings against Michael L. Whitaker and Associates they should have shut him down before this happened.

[Plinker]

So very TRUE, but people have to trust others to help them in matters that they don't understand or don't understand fully. You cannot go through life being distrustful or suspicious of everyone. When it is pointed out, as with Michael L. Whitaker and Associates, they need to be singled out and made examples of. The state, college, and other agencies let the public down in this case. Inaction by these agencies cost us thousands perhaps millions of dollars. With so many fillings against Michael L. Whitaker and Associates they should have shut him down before this happened.

If an advisor placed me in a high risk product after I specifically stated I was only comfortable with low risk investments, I would have immediately fired him/her. If that investment was declared a Ponzi scheme and money was lost, I would hire an attorney and depose the individual and ask all these questions. I would consider it money well spent and potentially recoverable. A formal complaint with the SEC is a must do.
I have no doubt there are honest fiduciary advisors, plumbers, electricians, etc. that put their clients’ best interests first. Unfortunately, there are always a few turds in the punch bowl. Unknowingly hiring a self-serving salesman, regardless of what product they are selling, appears to be a recurrent theme in The Villages. There are a lot of good-hearted, trusting, elderly people here that are just looking for an honest individual to help them with their needs.

[MDFlyer]

If an advisor placed me in a high risk product after I specifically stated I was only comfortable with low risk investments, I would have immediately fired him/her. If that investment was declared a Ponzi scheme and money was lost, I would hire an attorney and depose the individual and ask all these questions. I would consider it money well spent and potentially recoverable. A formal complaint with the SEC is a must do.
I have no doubt there are honest fiduciary advisors, plumbers, electricians, etc. that put their clients’ best interests first. Unfortunately, there are always a few turds in the punch bowl. Unknowingly hiring a self-serving salesman, regardless of what product they are selling, appears to be a recurrent theme in The Villages. There are a lot of good-hearted, trusting, elderly people here that are just looking for an honest individual to help them with their needs.
I filed today...........

SEC Investor Complaint Form (https://www.sec.gov/oiea/Complaint.html)

[Gpsma]

I filed today...........

SEC Investor Complaint Form (https://www.sec.gov/oiea/Complaint.html)

Mdflyer…how did u find Mr Whitaker to begin with? Go to one of his luncheon/dinner seminars? Or did u hear of him from recommendations?

[MDFlyer]

Mdflyer…how did u find Mr Whitaker to begin with? Go to one of his luncheon/dinner seminars? Or did u hear of him from recommendations?
Recommendation. As I stated earlier when I started with him he was very good. It was not until years later, when, in my opinion, his income didn't live up to his lifestyle that he changed the way he put people into more and more risky investments that carry higher and higher commissions that he went from good to bad, very bad.

[MDFlyer]

Why should you consider FINRA arbitration individually if you invested in GWG L bonds?
The information gathered strongly suggests that GWG deceived buyers in a number of ways. It involves lying to investors about its financial status and the risks associated with the L bonds. Many had no idea of the risk or the association to life insurance policies. To recuperate their losses, the majority of buyers file individual lawsuits with FINRA arbitration.

Possibility of financial recovery: Investors who purchased the L bonds can enhance their chances of recovering their money by pursuing individual FINRA arbitration. Those who hire their attorneys can be represented to seek compensation through FINRA arbitration from the financial services firm that sold them the GWG L bond.
Potential of fast resolution: Pursuing the case through FINRA arbitration will result in a quick resolution, which will enable investors to recoup their investment. According to FINRA, its arbitrations are typically quick compared to court cases.
Bring a suit against Emerson Equity and GWG: Besides the class action against GWG Holding, you can as well file a civil suit against the company and Emerson Equity. Evidence shows that most of the L Bond purchasers have complaints against Emerson Equity LLC. Individual investors can institute cases against GWG Holdings through FINRA arbitration.

[MDFlyer]

I filed today...........

SEC Investor Complaint Form

[SallyB]

'Classic Ponzi scheme': Angry creditors lambast CEO of Kansas asset-swap business in court records - Kansas Reflector (https://kansasreflector.com/2023/03/01/classic-ponzi-scheme-angry-creditors-lambast-ceo-of-kansas-asset-swap-business-in-court-records/)

This is for all the clients that still trust Michael Whitaker
Brad Heppner is a crook and that is who Michael want you his client to trust.

[SallyB]

https://www.girardsharp.com/assets/htmldocuments/2022-02-18%20Dkt.%201%20Complaint%20for%20Violations%20of% 20Federal%20Securities%20Laws.pdf

Another good read Texas court documents

[SallyB]

I filed today...........

SEC Investor Complaint Form
Glad you were able to take a stand

Read the two articles I posted today.

[SallyB]

The Beneficient Company Group Announces Separation from GWG (https://www.globenewswire.com/news-release/2021/11/29/2342243/0/en/The-Beneficient-Company-Group-Announces-Separation-from-GWG-Holdings-Inc.html)

What does this mean for GWG bond holders. They have been told Beneficient will a big part of the pay back to L Bond holders

[MDFlyer]

I would not hold my breath waiting to get anything back through the courts. File your complaints with the SEC and Arbitration with FINRA. FINRA has a place to ask for your filing to be expedited due to age, medical condition, or other reasons.

[Toymeister]

It's ironic that this guy has. Google review rating of 4.9 (quite high). Yes, I know those ratings are fairly useless but it does give the guy a positive vibe when you look him up on Google. Here is the link to leave your own review: michael whitaker and associates, llc the villages reviews - Google Search (https://www.google.com/search?q=michael+whitaker+and+associates,+llc+the+ villages+reviews&oq=michael+j+whitaker&aqs=chrome.2.69i57j69i60j69i59.14827j0j7&client=ms-android-fi&sourceid=chrome-mobile&ie=UTF-8&si=AMnBZoGMSY18MlXAbRQyM-ge6thxxQrGIwpRV0KjbUVtMR89YXR6PBBJFGRETjLxWJaiu2os KOLNQIhqLdhjTpCrzUdYnMQvlFu1tX53lUsgdFstk_xAlORPZm kedrRT4EtjX40MFV89ngJK34I-24Ay0nih30ZJzLcgZMq7ylMXfueuw5M5ESF-nPrvCrkU9Je1ZoZbRf4Y&ictx=1&ved=2ahUKEwigyZLA97H-AhVBTTABHeakCOIQyNoBKAJ6BAgPEAk)

[MDFlyer]

It's ironic that this guy has. Google review rating of 4.9 (quite high). Yes, I know those ratings are fairly useless but it does give the guy a positive vibe when you look him up on Google. Here is the link to leave your own review: michael whitaker and associates, llc the villages reviews - Google Search (https://www.google.com/search?q=michael+whitaker+and+associates,+llc+the+ villages+reviews&oq=michael+j+whitaker&aqs=chrome.2.69i57j69i60j69i59.14827j0j7&client=ms-android-fi&sourceid=chrome-mobile&ie=UTF-8&si=AMnBZoGMSY18MlXAbRQyM-ge6thxxQrGIwpRV0KjbUVtMR89YXR6PBBJFGRETjLxWJaiu2os KOLNQIhqLdhjTpCrzUdYnMQvlFu1tX53lUsgdFstk_xAlORPZm kedrRT4EtjX40MFV89ngJK34I-24Ay0nih30ZJzLcgZMq7ylMXfueuw5M5ESF-nPrvCrkU9Je1ZoZbRf4Y&ictx=1&ved=2ahUKEwigyZLA97H-AhVBTTABHeakCOIQyNoBKAJ6BAgPEAk)
One of the reviews was posted by his brother. I do not know if any more are fake. My review, I can promise you, is NOT fake. Thanks for posting the link.

[Toymeister]

One of the reviews was posted by his brother. I do not know if any more are fake. My review, I can promise you, is NOT fake. Thanks for posting the link.

I gave you a thumbs up on the Google review site so that your review can appear closer to the top of the reviews. If others do the same your's will appear first.

[MDFlyer]

I gave you a thumbs up on the Google review site so that your review can appear closer to the top of the reviews. If others do the same your's will appear first.
Thanks..... Pretty low to have your brother rate you. Goes to show what the real Michael L. Whitaker is like and why you should not believe anything he tells you.

[retiredguy123]

I don't trust Google reviews. There is an advertiser on this website who has 76, 5-star Google reviews, but none of them provides their location or any information about who they are. And, they all say that the merchant "walks on water". How does that happen?

[SallyB]

Thanks..... Pretty low to have your brother rate you. Goes to show what the real Michael L. Whitaker is like and why you should not believe anything he tells you.
Pretty funny to give your own business 5 stars

[SallyB]

I filed today...........

SEC Investor Complaint Form (https://www.sec.gov/oiea/Complaint.html)
Spoke to a New York attorney yesterday who has been investigating Newbridge, Michael and other brokers with high sales in the GWG L Bonds. These brokers and Michael were making $20,000 to $30,000 a month (a month, took a minute for that to sink in) in commission in the years 2016-2020 from GWG another high-risk alternative products. He also stated this was not Michaels first alternative product that went belly up. How does this guy stay in business.

[MDFlyer]

Spoke to a New York attorney yesterday who has been investigating Newbridge, Michael and other brokers with high sales in the GWG L Bonds. These brokers and Michael were making $20,000 to $30,000 a month (a month, took a minute for that to sink in) in commission in the years 2016-2020 from GWG another high-risk alternative products. He also stated this was not Michaels first alternative product that went belly up. How does this guy stay in business.
I am so glad you started this thread. It gave me the courage to follow through with filings against Michael L Whitaker and Associates for the misdeeds he did to me. It also shed a bright light on the way his agency and others agencies take advantage of the most vulnerable of our society. They are the worst of the worst kind of crooks.

[SallyB]

I am so glad you started this thread. It gave me the courage to follow through with filings against Michael L Whitaker and Associates for the misdeeds he did to me. It also shed a bright light on the way his agency and others agencies take advantage of the most vulnerable of our society. They are the worst of the worst kind of crooks.
Please keep us updated
I know it will go well for you

[MDFlyer]

The following was cut and pasted from Google Maps Review of what I am Michael l Whitaker posted.

Michael L Whitaker and Associates should never be allowed to handle anyone's money. He has multiple investigations in progress by the SEC and several fillings for arbitration settlements in progress by FINRA. In my opinion, does not act as a fiduciary for his clients, and does not manage the client's funds in the manner that he is instructed. By this I mean, if you say no or low-risk investments, he will put you in high risk.

3

Share
Response from the owner 35 minutes ago
You are welcome to express your opinion Jesse, but you are spreading false and misleading information here and on Talk of The Villages. Life is too short for you to keep going on like this so maliciously.

If I am wrong maybe you can explain the SEC and FINRA complaints.

[MDFlyer]

The following was cut and pasted from Google Maps Review of what I am Michael l Whitaker posted.

Michael L Whitaker and Associates should never be allowed to handle anyone's money. He has multiple investigations in progress by the SEC and several fillings for arbitration settlements in progress by FINRA. In my opinion, does not act as a fiduciary for his clients, and does not manage the client's funds in the manner that he is instructed. By this I mean, if you say no or low-risk investments, he will put you in high risk.

3

Share
Response from the owner 35 minutes ago
You are welcome to express your opinion Jesse, but you are spreading false and misleading information here and on Talk of The Villages. Life is too short for you to keep going on like this so maliciously.

If I am wrong maybe you can explain the SEC and FINRA complaints.
I guess Michael L Whitaker and Associates doesn't have an explanation of the SEC and FINRA complaints.

[MDFlyer]

Hey, Michael I just came into a large sum of money. Got any suggestions on how to invest it? Maybe he can't explain the SEC and FINRA complaints but will respond to a chance to fleece me again.

[MDFlyer]

Just what Michael L Whitaker and Associates were waiting for. Please do not let this thread die. If we keep it alive we may save one more victim from being taken in by this company. File your FINRA and SEC complaints if you feel you have be wronged by Michael L Whitaker and Associates.

[SallyB]

Look like it's time for the bondholders to vote

[MDFlyer]

Look like it's time for the bondholders to vote
I did not get any notice to vote. What are we voting for or against?

[SallyB]

In court filings on 4/17/23
GWG submitted a Revised Disclosure Statement for its Second Amended Reorganization Plan after US Bankruptcy Judge Marvin Isgur ordered the Chapter 11 debtor to provide L Bondholders with more information about potential recoveries before he approves sending Disclosure Statement to creditor to Vote on the Second Amended Reorganization Plan.

[MDFlyer]

In court filings on 4/17/23
GWG submitted a Revised Disclosure Statement for its Second Amended Reorganization Plan after US Bankruptcy Judge Marvin Isgur ordered the Chapter 11 debtor to provide L Bondholders with more information about potential recoveries before he approves sending Disclosure Statement to creditor to Vote on the Second Amended Reorganization Plan.
Did you get something in the mail about doing this?

[SallyB]

I did not get any notice to vote. What are we voting for or against?
I think I may have read the article wrong. It maybe the bondholders are getting the information on the vote.

[MDFlyer]

Michael L Whitaker and Associates should have gotten my FINRA compliant by now. I filed for arbitration and it was sent out by FINRA early last week. Put action where your mouth is and file your complaint if you have lost money dealing with this company because of bad management, violation of their fiduciary responsibility, or other reasons protected by FINRA.

[Bilyclub]

I get that you're ticked off about your dealings with them and want to keep the two threads alive, but it appears not to be an issue anybody on TOTV cares about.

[MDFlyer]

I get that you're ticked off about your dealings with them and want to keep the two threads alive, but it appears not to be an issue anybody on TOTV cares about.
No, I am not in favor of keeping both threads alive, just this one. Yes, I am ticked off or worse about how this company screwed me, and apparently many others, out of a lot of money by putting me in high-risk stocks that I specifically told them not to do. If you are not interested in this thread then don't post to it or read it. I want to keep it alive in the hopes that it may keep some other person from being ripped off by this unethical company.

[MDFlyer]

Got my voter form in the mail today and posted my YES vote on the site specified. I urge everyone with L Bonds from GWG to file online as soon as possible. The deadline for voting is May 26th. In my opinion, not enough time to ensure your vote will be counted.

[MDFlyer]

I get that you're ticked off about your dealings with them and want to keep the two threads alive, but it appears not to be an issue anybody on TOTV cares about.
It appears that with over 12 pages of comments you may not care but many people are following this thread. Michael L Whitaker and Associates is not acting as a fiduciary and other forms of senior abuse and this needs to be pointed out.

[Gpsma]

I wonder how many of Whittakers clients here bought these bonds. Is it many or just the few who have posted here.

[MDFlyer]

I wonder how many of Whittakers clients here bought these bonds. Is it many or just the few who have posted here.
Many, with values in the millions. Michael L Whitaker and Associates pushed them very hard with frequent dinners sponcered by GWG. Granted some may have wanted to be in high-risk positions but many, as we were, told that these were solid and not risky. In more direct words many were lied to and deceived by this company. Of course we have only this thread to pass the word and only a few see it.

[Caymus]

Do you remember the year of purchase and the rate they were supposed to yield?

[retiredguy123]

Do you remember the year of purchase and the rate they were supposed to yield?
The L bonds were initially offered on December 1, 2017. The prospectus clearly stated that the bonds were speculative and subject to a "high degree of risk". Here are the advertised interest rates from the prospectus:

2 years, 5.5 percent
3 years, 6.25 percent
5 years, 7.5 percent
7 years, 8.5 percent

Whenever I invest a large amount of money, I always read the prospectus before investing, and do not rely on verbal statements from a commission based financial advisor.

[Caymus]

The L bonds were initially offered on December 1, 2017. The prospectus clearly stated that the bonds were speculative and subject to a "high degree of risk". Here are the advertised interest rates from the prospectus:

2 years, 5.5 percent
3 years, 6.25 percent
5 years, 7.5 percent
7 years, 8.5 percent

Whenever I invest a large amount of money, I always read the prospectus before investing, and do not rely on verbal statements from a commission based financial advisor.

So, he was selling individual junk bonds? He should have at least offered a high yield bond fund as an alternative.

[retiredguy123]

So, he was selling individual junk bonds? He should have at least offered a high yield bond fund as an alternative.
Yes, junk bonds with a high commission to the advisor who sells them. You can invest in the Vanguard High Yield Corporate bond fund with no commission and a low expense ratio of 0.13 percent. The current yield is 6.77 percent, and it is much less risky because the fund owns hundreds of bonds, instead of putting all of your money into one bond. Of course, he could have recommended a fund, but he wanted to get the high commission.

[Gpsma]

I suspect that Whittaker didnt sell as much as the few posters, who ignored their investments, are complaining about it now.

They were taken and now regret they didnt exercise due diligence.

[Toymeister]

Whitaker sold enough of these bonds to get mentioned by name by out of state attorneys taking action against GWG.

What I want to know is how many negative posters here use due diligence throughout their lives. Catching a flight on Southwest and checked the pilot's record? Bought something expensive on Amazon and read every review? Yeah, right.

I'm enjoying the thread and Michael Whitaker's lack of response. It's interesting looking at MDFlyer's Google review of this guy and Whitaker's childlike response to that review.

[dhsmith]

We started investing with Whitaker about 8 years ago and have made a lot on money since then.Yes we bought GWG bonds back in 2017 and for about five years they were great and we made money. The last 18 months the gravey train stopped.So far we have not lost any money and won’t know what if any lost will occur until the Federal Bankruptcy Court rules on the recommendation of the committee.We may not lose any money and will receive repayment over several years hopefully that happens.

I’m 75 years old and listened to the sales pitch and I alone made the decision to invest $130000.00 over 5 years in GWG L Bonds.All investments aren’t home runs you hope they are but you have to take the good with the bad and hope it balances out in the end.


What I really dislike is people who won’t take responsibility for their actions and want to blame everyone else for the decisions that they have made, unfortunately this has become norm in the last 20 or 30 years to cry and wine when things don’t go as planned.

[MDFlyer]

I suspect that Whittaker didnt sell as much as the few posters, who ignored their investments, are complaining about it now.

They were taken and now regret they didnt exercise due diligence.
What is your plan? You hire a "advisor like Michael L Whitaker and Associates" to look into good investments for you and pay for this advice. Due Diligence has been completed. Maybe you are an expert in everything and do your own due diligence on everything, but most people prefer to hire professionals to advise them in areas they are unfamiliar with. I, and many others, trusted Michael L Whitaker and Associates to be a fiduciary and only give us truthful advice and not advise that benefited his company with high commissions at our expense.

[MDFlyer]

We started investing with Whitaker about 8 years ago and have made a lot on money since then.Yes we bought GWG bonds back in 2017 and for about five years they were great and we made money. The last 18 months the gravey train stopped.So far we have not lost any money and won’t know what if any lost will occur until the Federal Bankruptcy Court rules on the recommendation of the committee.We may not lose any money and will to receive repayment over several years hopefully that happens.

I’m 75 years old and listened to the sells pitch and I alone made the decision to invest $130000.00 over 5 years in GWG L Bonds.All investments aren’t home runs you hope they are but you have to take the good with the bad and hope it balances out in the end.


What I really dislike is people who won’t take responsibility for their actions and want to blame everyone else for the decisions that they have made, unfortunately this has become norm in the last 20 or 30 years to cry and wine when things don’t don’t go as planned.
It is not a matter of not taking responsibility for our purchasing. Had we been told the truth about GWG being high risk by Michael L Whitaker and Associates we would not have made the purchase. Our relationship with this company from the very beginning, was not to put us in high-risk products. Michael L Whitaker and Associates did not honor our wishes and did not act as a fiduciaries for our money. Glad for you that you accept being ripped off.

[MDFlyer]

We started investing with Whitaker about 8 years ago and have made a lot on money since then.Yes we bought GWG bonds back in 2017 and for about five years they were great and we made money. The last 18 months the gravey train stopped.So far we have not lost any money and won’t know what if any lost will occur until the Federal Bankruptcy Court rules on the recommendation of the committee.We may not lose any money and will to receive repayment over several years hopefully that happens.

I’m 75 years old and listened to the sells pitch and I alone made the decision to invest $130000.00 over 5 years in GWG L Bonds.All investments aren’t home runs you hope they are but you have to take the good with the bad and hope it balances out in the end.


What I really dislike is people who won’t take responsibility for their actions and want to blame everyone else for the decisions that they have made, unfortunately this has become norm in the last 20 or 30 years to cry and wine when things don’t don’t go as planned.
How much money did you make in 5 years or so? Enough to cover the $130,000 investment? If there is any payout it will be over many years and you may not get all of your principal and certainly no interest back. Please do not lecture the rest of us that may not be able to afford the losses.

[MDFlyer]

We started investing with Whitaker about 8 years ago and have made a lot on money since then.Yes we bought GWG bonds back in 2017 and for about five years they were great and we made money. The last 18 months the gravey train stopped.So far we have not lost any money and won’t know what if any lost will occur until the Federal Bankruptcy Court rules on the recommendation of the committee.We may not lose any money and will receive repayment over several years hopefully that happens.

I’m 75 years old and listened to the sales pitch and I alone made the decision to invest $130000.00 over 5 years in GWG L Bonds.All investments aren’t home runs you hope they are but you have to take the good with the bad and hope it balances out in the end.


What I really dislike is people who won’t take responsibility for their actions and want to blame everyone else for the decisions that they have made, unfortunately this has become norm in the last 20 or 30 years to cry and wine when things don’t go as planned.
Losing money is not a matter of your outlook on where your money went but a matter of it gone and may never be coming back. Yes, you did lose money, $130,000 less the few thousand you may have gotten back from the dividends over the years. The losses you are experiencing now may never be recovered. From what you have said, Michael L Whitaker and Associates did exactly what you instructed him to do. He invested your money in high-risk bonds and you lost. For most of the rest of us he did not act as a fiduciary and against our wishes put us in high-risk investments. This does make you wrong or us wrong it just makes Michael L Whitaker and Associates wrong.

[Gpsma]

Losing money is not a matter of your outlook on where your money went but a matter of it gone and may never be coming back. Yes, you did lose money, $130,000 less the few thousand you may have gotten back from the dividends over the years. The losses you are experiencing now may never be recovered. From what you have said, Michael L Whitaker and Associates did exactly what you instructed him to do. He invested your money in high-risk bonds and you lost. For most of the rest of us he did not act as a fiduciary and against our wishes put us in high-risk investments. This does make you wrong or us wrong it just makes Michael L Whitaker and Associates wrong.

Didnt you ever review your portfolio and question what and why he invested in these bonds and other securities. Or did you blindly give him money and tell him to invest only in safer investments?

[MDFlyer]

Didnt you ever review your portfolio and question what and why he invested in these bonds and other securities. Or did you blindly give him money and tell him to invest only in safer investments?
Since we did not know a lot about investing we had to place our trust in Michael L Whitaker and Associates to only suggest investments that were low risk as we instructed. If you have read this whole thread you will notice that Michael did as we instructed for many years but as his need for more and more financial profit took over him he shifted to selling his clients higher risk and correspondent higher commissions for him. This change was deliberately gradual and we did not have any reason not to continue to trust him. We started with him in about 2011 just about the same time he started. Of course, he says Michael L Whitaker and Associates has been in business for 38 years but the records say something entirely different. Another deception?

[Gpsma]

Since we did not know a lot about investing we had to place our trust in Michael L Whitaker and Associates to only suggest investments that were low risk as we instructed. If you have read this whole thread you will notice that Michael did as we instructed for many years but as his need for more and more financial profit took over him he shifted to selling his clients higher risk and correspondent higher commissions for him. This change was deliberately gradual and we did not have any reason not to continue to trust him. We started with him in about 2011 just about the same time he started. Of course, he says Michael L Whitaker and Associates has been in business for 38 years but the records say something entirely different. Another deception?

So he would suggest investments and you would then approve them? Or did you just give him a sum of money and told him only low risk?
Before you moved here did you have an investment adviser you were happy with?

[MDFlyer]

So he would suggest investments and you would then approve them? Or did you just give him a sum of money and told him only low risk?
Before you moved here did you have an investment adviser you were happy with?
You are beginning to sound like a plant working for Michael L Whitaker and Associates. I am not going to respond to any more of your messages.

[Gpsma]

You are beginning to sound like a plant working for Michael L Whitaker and Associates. I am not going to respond to any more of your messages.

I think if you look back at my posts you would not have made that comment.

[MDFlyer]

I think if you look back at my posts you would not have made that comment.
When you start asking personal questions about my actions and dealings with Michael L Whitaker and Associates you look like someone collecting information for him to use in his FINRA defense. Michael: If you want to talk with me about a settlement please email me to set up an appointment.

[Gpsma]

When you start asking personal questions about my actions and dealings with Michael L Whitaker and Associates you look like someone collecting information for him to use in his FINRA defense. Michael: If you want to talk with me about a settlement please email me to set up an appointment.

All u have to do is look at my postings on here and you would realize im not someome working for whittaker.

I was just curious how u got involved and then got scammed.
I suspect you are very bitter..sort of like someone who left the door unlocked and got robbed.

[MDFlyer]

All u have to do is look at my postings on here and you would realize im not someome working for whittaker.

I was just curious how u got involved and then got scammed.
I suspect you are very bitter..sort of like someone who left the door unlocked and got robbed.
Oh, you can tell I am bitter, amazing. So you call trusting your advisor to do what you ask is "leaving the door unlocked" In my opinion you are the one leaving the door unlocked if you do not take action to help prevent others from being taken by Michael L Whitaker and Associates.

[SallyB]

I have been getting some private messages from some of his clients and past clients. The one that really surprised me was from someone that stated Michael sold their GWG in 2021 because GWG didn't file their annual report in 2021, they questioned why we didn't pull out then. Well, my parents were not told what was going on until it was too late.
Again, Michael knew there was a problem but only helped a few.
Why would only some of his clients get pulled out of GWG and not others. How did he pick and choose who was lucky and who was unlucky?
I think that is a question all of you should be asking him. Why didn't you pull all the clients out of GWG, why did he pick and choose who he pulled out?
Would he have lost some of his commissions? I really would like to know because it makes no sense.
As I said before the lawyer, I spoke to stated at one point Michael had somewhere around $6 - 10 million in GWG.

[MDFlyer]

I have been getting some private messages from some of his clients and past clients. The one that really surprised me was from someone that stated Michael sold their GWG in 2021 because GWG didn't file their annual report in 2021, they questioned why we didn't pull out then. Well, my parents were not told what was going on until it was too late.
Again, Michael knew there was a problem but only helped a few.
Why would only some of his clients get pulled out of GWG and not others. How did he pick and choose who was lucky and who was unlucky?
I think that is a question all of you should be asking him. Why didn't you pull all the clients out of GWG, why did he pick and choose who he pulled out?
Would he have lost some of his commissions? I really would like to know because it makes no sense.
As I said before the lawyer, I spoke to stated at one point Michael had somewhere around $6 - 10 million in GWG.
As I mentioned earlier, I would like to know how much in GWG L Bonds Michael Whitaker had and when he sold them. I hope I get the chance to depose him as part of my FINRA case. Where did you get this information?

[MDFlyer]

As I mentioned earlier, I would like to know how much in GWG L Bonds Michael Whitaker had and when he sold them. I hope I get the chance to depose him as part of my FINRA case. Where did you get this information?
If anyone knows how to get this information please post it here or send it to me via private message. If Michael L Whitaker sold his stock before GWG crashed then he must have had INSIDER information and that might be a crime.

[SallyB]

From the attorney up north, that has been investigating Newbridge Securities.

[MDFlyer]

From the attorney up north, that has been investigating Newbridge Securities.
Michael L Whitaker and Associates was served with my FINRA complaint about 10 days ago but he has not responded to them regarding the complaint. I got information today, from a reliable source, that it is true that Michael L Whitaker was doing shady trades and deals that resulted in higher commissions for him but were not in the best interest of his clients.

[Gpsma]

Michael L Whitaker and Associates was served with my FINRA complaint about 10 days ago but he has not responded to them regarding the complaint. I got information today, from a reliable source, that it is true that Michael L Whitaker was doing shady trades and deals that resulted in higher commissions for him but were not in the best interest of his clients.

Is that so? Please tell us more.

[MDFlyer]

Is that so? Please tell us more.
I cannot tell you my source but I can assure you that they are reliable. If I am able to depose Michael L Whitaker as part of my FINRA case I will ask questions related to this. What we need is more people filing their complaints against Michael L Whitaker and Michael L Whitaker and Associates. Don't just sit back and complain here, do it where it counts.

[SallyB]

Is that so? Please tell us more.
Are you a current or past client of Michael or his son?

[SallyB]

If anyone knows how to get this information please post it here or send it to me via private message. If Michael L Whitaker sold his stock before GWG crashed then he must have had INSIDER information and that might be a crime.
I wonder if Newbridge would have to disclose that information? Questions like did he or his family own GWG and so when were they bought and sold? From 2020 - 2022 did he buy or sell GWG? If he sold off clients GWG when and why?
Maybe your lawyer can look into it.

[MDFlyer]

Are you a current or past client of Michael or his son?
My wife and I had all of our investments placed through Michael L Whitaker and Associates. Currently, we only have the GWG and one other investment that we could not sell. Putting us in FS stock was another high-commission stock Michael put us in and did not tell us that we could not sell it for at least 10 years. He is dirty to the core.

[MDFlyer]

Today I got noticed that Michael L Whitaker has retained a law firm to represent him in my case filed with FINRA. Nothing to hide so you hire a law firm to represent you. NOT. Reminds me of David (me) and Goliath (Michael L Whitaker) These cases are supposed to be informal hearings.

[mike1206?]

Hello all, this is Michael L. Whitaker. As many of you know me personally, you know that I have served this community faithfully for 38 years and have always sought to put my clients’ interests first. While the attacks against me published on this forum by Mr. Hadaway (MDFlyer) are completely unfounded, they are still personally and professionally disturbing. In order to my clear my name, I have retained the law firm of Kaufman Dolowich & Voluck (“KDV”) in Fort Lauderdale, Florida to assist me in defending Mr. Hadaway’s claims. Hopefully, the following information from my counsel will assist in correcting some of the misstatements made by Mr. Hadaway on this forum.



Gregg Breitbart, a senior partner with KDV and the chair of its Financial Services Practice Group stated:

“Mr. Whitaker vehemently denies these defamatory accusations being made against him by Mr. Hadaway. Unlike Mr. Hadaway, we don’t intend to litigate this matter through blog posts. However, we are confident that the evidence in this case will establish, without doubt, that the investments that Mr. Whitaker recommended to Mr. Hadaway were all suitable and appropriate based on the information known at the time, and that the material risks and features of those investments were fully disclosed to Mr. Hadaway, and acknowledged by him in writing. The law requires that a financial professional like Mr. Whitaker have a “reasonable basis” to believe that a particular investment is suitable for a particular client, and it will be clear that Mr. Whitaker met that obligation here. The duty that Mr. Hadaway seeks to impose on Mr. Whitaker -- to accurately predict or guarantee the future performance of investments – does not, and cannot, exist.”



Zachary Hayes-Macaluso, an associate in KDV’s Financial Services group further stated as follows: “The fact is that all investments carry some risk, and not every investment will be profitable. Indeed, while Mr. Hadaway complains about a single investment that did not perform as expected, he is noticeably silent about the numerous other investments that Mr. Whitaker recommended to him that have performed well and yielded him profits. As such, we think that Mr. Hadaway’s use of this blog in an effort to smear the professional reputation of Mr. Whitaker is misguided and unfair, and Mr. Whitaker reserves all rights in connection therewith.”



With respect to the information posted here regarding investments in GWG, GWG is currently in the midst of Chapter 11 bankruptcy proceedings which seek to maximize the value of that company’s assets for its creditors, including the holders of its L Bonds. In fact, creditors of GWG are currently voting on a Chapter 11 plan that, if approved, is likely to result in material distributions to bondholders. (A court hearing to determine if that plan will be approved is currently scheduled for June 15, 2023.) While it is unfortunate that some of my clients have been impacted by events effecting GWG, I have continued to communicate with those clients regarding the status of their investments and any additional information as it becomes available. If you are interested in accurate information regarding the bankruptcy proceedings of GWG, this is the website where all such information and updates are posted publicly: Home - GWG Holdings, Inc., et al. (https://www.donlinrecano.com/Clients/gwg/Index).



I am eternally grateful for the trust and confidence my clients have placed with me, and I hope this additional information puts to rest some of the false claims that have been posted about me recently on this forum.

Sincerely,
Michael L. Whitaker

[MDFlyer]

Hello all, this is Michael L. Whitaker. As many of you know me personally, you know that I have served this community faithfully for 38 years and have always sought to put my clients’ interests first. While the attacks against me published on this forum by Mr. Hadaway (MDFlyer) are completely unfounded, they are still personally and professionally disturbing. In order to my clear my name, I have retained the law firm of Kaufman Dolowich & Voluck (“KDV”) in Fort Lauderdale, Florida to assist me in defending Mr. Hadaway’s claims. Hopefully, the following information from my counsel will assist in correcting some of the misstatements made by Mr. Hadaway on this forum.



Gregg Breitbart, a senior partner with KDV and the chair of its Financial Services Practice Group stated:

“Mr. Whitaker vehemently denies these defamatory accusations being made against him by Mr. Hadaway. Unlike Mr. Hadaway, we don’t intend to litigate this matter through blog posts. However, we are confident that the evidence in this case will establish, without doubt, that the investments that Mr. Whitaker recommended to Mr. Hadaway were all suitable and appropriate based on the information known at the time, and that the material risks and features of those investments were fully disclosed to Mr. Hadaway, and acknowledged by him in writing. The law requires that a financial professional like Mr. Whitaker have a “reasonable basis” to believe that a particular investment is suitable for a particular client, and it will be clear that Mr. Whitaker met that obligation here. The duty that Mr. Hadaway seeks to impose on Mr. Whitaker -- to accurately predict or guarantee the future performance of investments – does not, and cannot, exist.”



Zachary Hayes-Macaluso, an associate in KDV’s Financial Services group further stated as follows: “The fact is that all investments carry some risk, and not every investment will be profitable. Indeed, while Mr. Hadaway complains about a single investment that did not perform as expected, he is noticeably silent about the numerous other investments that Mr. Whitaker recommended to him that have performed well and yielded him profits. As such, we think that Mr. Hadaway’s use of this blog in an effort to smear the professional reputation of Mr. Whitaker is misguided and unfair, and Mr. Whitaker reserves all rights in connection therewith.”



With respect to the information posted here regarding investments in GWG, GWG is currently in the midst of Chapter 11 bankruptcy proceedings which seek to maximize the value of that company’s assets for its creditors, including the holders of its L Bonds. In fact, creditors of GWG are currently voting on a Chapter 11 plan that, if approved, is likely to result in material distributions to bondholders. (A court hearing to determine if that plan will be approved is currently scheduled for June 15, 2023.) While it is unfortunate that some of my clients have been impacted by events effecting GWG, I have continued to communicate with those clients regarding the status of their investments and any additional information as it becomes available. If you are interested in accurate information regarding the bankruptcy proceedings of GWG, this is the website where all such information and updates are posted publicly: Home - GWG Holdings, Inc., et al. (https://www.donlinrecano.com/Clients/gwg/Index).



I am eternally grateful for the trust and confidence my clients have placed with me, and I hope this additional information puts to rest some of the false claims that have been posted about me recently on this forum.

Sincerely,
Michael L. Whitaker
I guess you, Michael L Whitaker and Associates, cannot defend yourself in a supposed to be informal hearing so you are now, as you said, stooping as low as the posters here, and have hired a law firm to represent you. Why don't you tell the members here just how much money my wife and I have lost dealing with you and your firm? You must have had some memory loss too since I now have less than one half of the total amount I started with 12 or so years ago.

[MDFlyer]

In my opinion, I guess Michael L Whitaker only stoops low enough to post on this thread when he has another lie to tell. Apparently, he has been keeping up with the thread since he has seen the way to "out" me in particular. Just another action to show us who and what he really is.

[justjim]

Almost everyone has lost money in the markets. I’ve no dog is this fight but advise
not to put all your money in one basket. Just saying.

[Carla B]

Almost everyone has lost money in the markets. I’ve no dog is this fight but advise
not to put all your money in one basket. Just saying.

Yes, but starting about 2014 or so, almost everyone made lots of money in the stock market and should have more money than they started with in 2011, not less than half, due to poor decision-making by an advisor. I feel the posters' pain.

[MDFlyer]

I did not have all of my money in one investment just one "Financial Advisor" It is not that I do not know that all stocks and other investments carry risks but rather I do not think Michael L Whitaker was acting in my best interest when he put me in FS and GWG investments and then to further cause damage advised me to stay in GWG even when he knew they had missed two quarterly reports to the Government. Of course, we know now that this was because GWG was preparing for bankruptcy. If true that Whitaker sold his investment in GWG before they went bankrupt but left his clients in GWG then that could be insider trading and a breach of his Fiduciary duties to his clients.

[MDFlyer]

Hello all, this is Michael L. Whitaker. As many of you know me personally, you know that I have served this community faithfully for 38 years and have always sought to put my clients’ interests first. While the attacks against me published on this forum by Mr. Hadaway (MDFlyer) are completely unfounded, they are still personally and professionally disturbing. In order to my clear my name, I have retained the law firm of Kaufman Dolowich & Voluck (“KDV”) in Fort Lauderdale, Florida to assist me in defending Mr. Hadaway’s claims. Hopefully, the following information from my counsel will assist in correcting some of the misstatements made by Mr. Hadaway on this forum.



Gregg Breitbart, a senior partner with KDV and the chair of its Financial Services Practice Group stated:

“Mr. Whitaker vehemently denies these defamatory accusations being made against him by Mr. Hadaway. Unlike Mr. Hadaway, we don’t intend to litigate this matter through blog posts. However, we are confident that the evidence in this case will establish, without doubt, that the investments that Mr. Whitaker recommended to Mr. Hadaway were all suitable and appropriate based on the information known at the time, and that the material risks and features of those investments were fully disclosed to Mr. Hadaway, and acknowledged by him in writing. The law requires that a financial professional like Mr. Whitaker have a “reasonable basis” to believe that a particular investment is suitable for a particular client, and it will be clear that Mr. Whitaker met that obligation here. The duty that Mr. Hadaway seeks to impose on Mr. Whitaker -- to accurately predict or guarantee the future performance of investments – does not, and cannot, exist.”



Zachary Hayes-Macaluso, an associate in KDV’s Financial Services group further stated as follows: “The fact is that all investments carry some risk, and not every investment will be profitable. Indeed, while Mr. Hadaway complains about a single investment that did not perform as expected, he is noticeably silent about the numerous other investments that Mr. Whitaker recommended to him that have performed well and yielded him profits. As such, we think that Mr. Hadaway’s use of this blog in an effort to smear the professional reputation of Mr. Whitaker is misguided and unfair, and Mr. Whitaker reserves all rights in connection therewith.”



With respect to the information posted here regarding investments in GWG, GWG is currently in the midst of Chapter 11 bankruptcy proceedings which seek to maximize the value of that company’s assets for its creditors, including the holders of its L Bonds. In fact, creditors of GWG are currently voting on a Chapter 11 plan that, if approved, is likely to result in material distributions to bondholders. (A court hearing to determine if that plan will be approved is currently scheduled for June 15, 2023.) While it is unfortunate that some of my clients have been impacted by events effecting GWG, I have continued to communicate with those clients regarding the status of their investments and any additional information as it becomes available. If you are interested in accurate information regarding the bankruptcy proceedings of GWG, this is the website where all such information and updates are posted publicly: Home - GWG Holdings, Inc., et al. (https://www.donlinrecano.com/Clients/gwg/Index).



I am eternally grateful for the trust and confidence my clients have placed with me, and I hope this additional information puts to rest some of the false claims that have been posted about me recently on this forum.

Sincerely,
Michael L. Whitaker
Questions for Michael L Whitaker. 1. Did you own stock (L Bonds) in GWG? 2. When did you and or your family sell the investments in GWG? 3. Did you know that GWG was in trouble when you told your clients not to sell their investments in GWG? I don't expect answers to these questions as Michael L Whitaker only posts when he thinks it is to his advantage or when he wants to OUT someone.

[Gpsma]

Mr Hadaway…did you look at what Mr Whitaker invested you in? Or did you give him all your money and let him do what he wanted?

As many people have said…go with the big guys, fidelity, shwab, vanguard…tell them your risk tolerance and they will kerp your investments in that lane.

Sorry you lost you money…but why go to a small shop here? Because you got recommended by friends that went to his rubber chicken luncheons?

[MDFlyer]

Mr Hadaway…did you look at what Mr Whitaker invested you in? Or did you give him all your money and let him do what he wanted?

As many people have said…go with the big guys, fidelity, shwab, vanguard…tell them your risk tolerance and they will kerp your investments in that lane.

Sorry you lost you money…but why go to a small shop here? Because you got recommended by friends that went to his rubber chicken luncheons?
To answer your first question, it is a combination of both, I talked with him about my risk tolerances and he suggested certain things that I should be invested in. This system worked out very well for the first 6 years or so, Michael L Whitaker suggested good dividend-paying investments. I truly believe that Michael's lifestyle and financial needs got the best of him and he started putting, not only me but others in more and more risky investments that brought him higher commissions but were not good for his clients. I have known him for over 10 years and have seen this play out over the years. To answer your second question I did attend many of his "rubber chicken" dinners paid for by GWG and other investment entities but this was long after I began with Michael L Whitaker and Associates as my advisor. I think this might be referred to as "keeping the flock together".

[MDFlyer]

Questions for Michael L Whitaker. 1. Did you own stock (L Bonds) in GWG? 2. When did you and or your family sell the investments in GWG? 3. Did you know that GWG was in trouble when you told your clients not to sell their investments in GWG? I don't expect answers to these questions as Michael L Whitaker only posts when he thinks it is to his advantage or when he wants to OUT someone.
Just as I thought NO answer to my questions. I take that to be proof that he owned GWG and sold it before they went bankrupt and before he told any of his clients, with the exception of a few family and friends, that he had information the GWG was in trouble. Maybe his lawyer knows but is not telling either. Insider trading is a crime.

[BlueStarAirlines]

I'm not sure what possessed me to read all 16 pages of this thread, but it reinforced that there is no good reason to go with any small investment shop....for any reason.

So many lessons here for the general public, but the biggest for me is to stay away from any AUM/Commissioned brokers. I'm glad I use a fiduciary flat-fee investment advisor.

[Caymus]

I'm not sure what possessed me to read all 16 pages of this thread, but it reinforced that there is no good reason to go with any small investment shop....for any reason.

So many lessons here for the general public, but the biggest for me is to stay away from any AUM/Commissioned brokers. I'm glad I use a fiduciary flat-fee investment advisor.

But did they treat you to a "free" rubber chicken dinner?

[MDFlyer]

I would laugh at this comment, but this is not a laughing matter. People fell for the rubber chicken put on by Michael L Whitaker and Associates and GWG and lost millions because of bad advice and high commissions. I agree with the poster that commissioned brokers have more reason to give their clients bad investment advice because their income and lifestyles are dependent upon the commissions. Stay away from AUM/Commissioned brokers.

[Normal]

Moderator, what is the purpose of continuing to keep this private spat on the board? Please move it to financial or whatever. Thanks

[MDFlyer]

Moderator, what is the purpose of continuing to keep this private spat on the board? Please move it to financial or whatever. Thanks
It doesn't seem to me that this is "a private spat". This concerns many seniors and others that lost millions of dollars dealing with Michael L. Whitaker and Associates.

[OrangeBlossomBaby]

It doesn't seem to me that this is "a private spat". This concerns many seniors and others that lost millions of dollars dealing with Michael L. Whitaker and Associates.

I haven't lost a dime with them. You did very well for six years. You should've cut bait and run while you had the chance. You chose otherwise. That's what happens when you gamble your money. It sucks, but it's a risk you choose to take. No one forced you to hold.

[MDFlyer]

I haven't lost a dime with them. You did very well for six years. You should've cut bait and run while you had the chance. You chose otherwise. That's what happens when you gamble your money. It sucks, but it's a risk you choose to take. No one forced you to hold.
You are right I did do well for 5 or 6 years. This led me to a FALSE trust and that is why I believed Mr. Whitaker when he suggested GWG and FS investments as low risk. I am glad you did not have any GWG or FS investments through Michael L Whitaker and Associates.

[Toymeister]

The question MD Flyer should have is not if Michael Whitaker had GWL bonds or not, rather when did Whitaker have SUPERIOR KNOWLEDGE of GWL's impending failure. GWL did not file disclosures Whitaker knew this, apparently, and did not notify clients.

If true, then this is clearly a case of withholding superior knowledge. MD Flyer should be arguing Whitaker withheld this superior knowledge to clients whom he had a duty to share it with.

[MDFlyer]

The question MD Flyer should have is not if Michael Whitaker had GWL bonds or not, rather when did Whitaker have SUPERIOR KNOWLEDGE of GWL's impending failure. GWL did not file disclosures Whitaker knew this, apparently, and did not notify clients.

If true, then this is clearly a case of withholding superior knowledge. MD Flyer should be arguing Whitaker withheld this superior knowledge to clients whom he had a duty to share it with.
Michael Whitaker did inform us that GWG had missed two reporting quarters but at the same time told us that there was nothing to worry about since they were just having some organizational problems and were in very good financial condition. Since he made statements like this I have to assume that he had insider information on the financial condition of GWG. My point in asking about his ownership of GWG was to point out that he had advanced or "Superior information" that he acted on but did not inform clients about. I am betting that he did have "Superior Information" and acted on insider information.

[SallyB]

Almost everyone has lost money in the markets. I’ve no dog is this fight but advise
not to put all your money in one basket. Just saying.
This was not money lost in the market. This is a non-publicly traded alternative that was sold "as safe as a bond or mutual fund". The risk was sold as a high-risk investment as SEC has stated it is.

[Normal]

This was not money lost in the market. This is a non-publicly traded alternative that was sold "as safe as a bond or mutual fund". The risk was sold as a high-risk investment as SEC has stated it is.

I think the issue is that the implicated company (GWG) can go with reorganization under chapter 11. In fact it is almost certain. This means bond holders will lose about 35% of their principle. Whitaker was only a broker so he won’t be penalized; he only sold the bonds through established legal channels . Most of us lost some cash flow the last quarter and this first quarter, but apparently 30 or so bond holders will take a large hit. It’s a tough situation. Unfortunately, Flyer seems to be one of the few and uses the forum to attack his broker/scapegoat. Hopefully it works out a little better than expected?

[MDFlyer]

I think the issue is that the implicated company (GWG) can go with reorganization under chapter 11. In fact it is almost certain. This means bond holders will lose about 35% of their principle. Whitaker was only a broker so he won’t be penalized; he only sold the bonds through established legal channels . Most of us lost some cash flow the last quarter and this first quarter, but apparently 30 or so bond holders will take a large hit. It’s a tough situation. Unfortunately, Flyer seems to be one of the few and uses the forum to attack his broker/scapegoat. Hopefully it works out a little better than expected?
No, the issue is that Michael L Whitaker and Associates sold us into investments that were high risk in violation of his Fiduciary responsibility. When you, me, inform your trusted financial advisor that you only want to be in low-risk investments then that is what the advisor is supposed to present to you for your consideration. Michael violated this duty and presented clients with high-risk investments after being informed that this was not appropriate for clients that had specified low risk. Clients 80 years old, in bad health, or for some other reason should not have been exposed to high-risk investments. My question to you is how did you know it was only 30 or so bondholders that will take a big hit? Sounds like insider information.

[Gpsma]

Trusted financial advisor? How long did you know whittaker before u gve him yoir momey to invest? You said you got him from recommendations…did people with serious financial knowledge recommend him to you?

Dont know where you invested before coming to TV but many here still keep their old advisors from up north. Advisors that they hve probably been with for decades.

Not defending whittaker if he didnt follow your instructions but, ultimately, we are all reaponsible to do due dilligence on any investment advice…its your money after all.

[Normal]

My question to you is how did you know it was only 30 or so bondholders that will take a big hit? Sounds like insider information.
Fairly simple answer….

FINRA Attorneys Answer Questions About GWG Holdings’ Bankruptcy - EIN Presswire (https://www.einnews.com/pr_news/573198842/finra-attorneys-answer-questions-about-gwg-holdings-bankruptcy)

[MDFlyer]

Trusted financial advisor? How long did you know whittaker before u gve him yoir momey to invest? You said you got him from recommendations…did people with serious financial knowledge recommend him to you?

Dont know where you invested before coming to TV but many here still keep their old advisors from up north. Advisors that they hve probably been with for decades.

Not defending whittaker if he didnt follow your instructions but, ultimately, we are all reaponsible to do due dilligence on any investment advice…its your money after all.
As with most people, we built trust over time. Start with small investments and gradually build up a relationship with the advisor you are dealing with. I have said more than once that for the first few years of dealing with Michael L Whitaker and Associates things were good and we invested more and more with him. Maybe, in the beginning, Michael was satisfied with 2 or 3 percent commission but as his family grew and his financial needs changed he needed to either increase his commission per investment or increase his client base. He apparently thought he could do both by putting his clients at risk.

[MDFlyer]

Fairly simple answer….

FINRA Attorneys Answer Questions About GWG Holdings’ Bankruptcy - EIN Presswire (https://www.einnews.com/pr_news/573198842/finra-attorneys-answer-questions-about-gwg-holdings-bankruptcy)
That is only one law firm that is reporting a number of clients and they may or may not be from Michael L Whitaker and Associates. It may not even represent all of the clients that Michael Whitaker had put in GWG. I certainly am not one of those 30, although I may be at some point.

[MDFlyer]

That is only one law firm that is reporting a number of clients and they may or may not be from Michael L Whitaker and Associates. It may not even represent all of the clients that Michael Whitaker had put in GWG. I certainly am not one of those 30, although I may be at some point.
Thanks for the attorney information. It is a fairly long read but I would encourage everyone who has skin in this GWG game or was sold other investments that were high risk by Michael L. Whitaker and Associates against their stated risk tolerance limits. I am leaning towards calling this firm myself even though I have already filed a FINRA case.

[MDFlyer]

FINRA Attorneys Answer Questions About GWG Holdings’ Bankruptcy - EIN Presswire (https://www.einnews.com/pr_news/573198842/finra-attorneys-answer-questions-about-gwg-holdings-bankruptcy)

[SallyB]

Moderator, what is the purpose of continuing to keep this private spat on the board? Please move it to financial or whatever. Thanks
I started this thread because I had a lot of question and was told I could get some quality answers here, since then I have done quite a bit research.
I have found that this is the one of 4 or 5 Ponzi like schemes here in The Villages over the last 8 - 10 years and that Villagers have lost (most never got their money back) over 50 to 60 million dollars in these schemes / investments.
These investments are different then losing money in the market because these investments are not in the market, they are private placement investments like REITS, L Bonds, and Business Development investments. Which if truth be told should have never been marketed to people over the age on 70 or people who are retired.
The difference when these high-risk investments are sold to seniors, they are told they are at the same risk as bonds or blue-chip stocks, and they don't have to worry about your principal being loss due to the market.
So, if this thread has help anyone from buying these non-publicly traded investments, I guess it has done its job.

[MDFlyer]

This is the reason I am trying my best to keep this thread alive. I only wish there was a way to reach more people in order to prevent them from experiencing the same or greater losses as I and many others have experienced dealing with companies like Michael L Whitaker and Associates. I am very aware, so no comments please, that investing is always a risk but when a broker you trust to give you good advice turns on you and is self-serving it is not the fault of the investor when they lose money. It is the fault of the broker.

[Happydaz]

The fact that 99% of brokers would not sell these bonds shows the highly speculative nature of this type of investment. They had a high commission attached to them, yet the over whelming majority of brokers wanted nothing to do with them. Using free dinners, they marketed them to unsuspecting investors. Many of these people were very conservative, they may have held the majority of their retirement savings in money markets or very low interest bearing CD’s and were sold the concept that these were conservative investments that would get them higher rates of return. Unbeknown to them was the fact that these bonds were pure junk bonds and were much riskier than the stock market so many of them were afraid of. It is disappointing that these types of dinner programs are not more closely investigated by the state and federal government. We have a 140,000 older Americans living in the Villages and more monitoring of these activities is needed in order to safeguard our elderly.