Va. Gubernatorial Candidate Linked to Life Insurance Fraudster
By John Curran
It is unclear whether Virginia Democratic gubernatorial candidate Terry McAuliffe was aware how an estate planner was planning on making money for investors like him, but according to a recent criminal hearing, the planner was engaged in numerous types of life insurance fraud.
Federal investigators allege that Joseph Caramadre took advantage of the terminally ill, buying financial instruments such as annuities or insurance policies in their name without their knowledge. According to the indictment, Caramadre and an associate were able to net more than $46 million in the process.
While some in the political media question the timing of the release of McAuliffe’s name during a competitive gubernatorial race, the sheer number of prominent people listed as Caramadre’s investors indicate that the government was trying to continue to prosecute an insurance fraud case rather than influence an out-of-state race. McAuliffe’s spokesperson told the Associated Press that, like many of the others listed, his boss was a passive investor.
The publicity may help families and seniors remember the potential for financial wrongdoing dependent on their lack of financial literacy or misrepresentations of a salesperson or purported adviser. In addition to activities like those alleged by federal prosecutors against Caramadre, some instances of life insurance or annuities fraud occur simply by a senior citizen deciding to buy numerous policies where either unclear returns on investment or excessive fees sap their principal.
Unfortunately, many people with allegedly sterling reputations like Caramadre can outwit even investors like McAuliffe about the source of their impressive returns that may include annuities fraud, let alone seniors who may be trying to find a way out of a financial hole, especially after the recession. In many cases, the only redress is legal action with the help of life insurance fraud lawsuit attorneys.
If you or a loved one believe that you were victims of financial fraud, find out what options you have, including filing a lawsuit. Start with a case eligibility review available to those who fill out the short form at the Life Insurance, Annuities Fraud Class Action Lawsuit Investigation. If the facts warrant it, one of our life insurance fraud lawsuit attorneys will help you understand what steps you can take to try and recover funds.
All class action and lawsuit news updates are listed in the Lawsuit News section of Top Class Actions
