Legal Question in Investment Law in Arizona

my financial advisor illegally (forged my signature) withdrew $200,000 from my annuity to use for his own investment, he and two others formed an LLC for the purpose of investing into a China/Nigeria oil deal. According to the advisor, the $200,000 they stole from me will generate an annual income

of $800,000 to a million. They are of the opinion that if they repay me the $200,000 plus the income tax I'll have to pay on the withdrawal, penaly for the withdrawal by the annuity co., loss of bonus I

would receiving down the road, totally $132,000 and $50,000 that all should be ok. Again according

to him, they will be realizing $800,000 to a million on the money they took from me, I don't agree that their offer is adequate, they are being unjustly rewarded and I should receive a portion of the annual income, please advise


Asked on 3/08/11, 9:03 am

1 Answer from Attorneys
Andrew May May Law, PC

Dear Sir or Madam,

I believe that federal securities laws would not allow the wrongdoer's employer from profiting by the fraud. Also, I think that several equitable remedies provide the same result, i.e., that you are to receive the greater amount of money. A lot of the answers may depend on what state's law applies. Do you have good records regarding the annuity purchase contract and account opening forms with the broker-dealer or insurance company?

Feel free to contact me offline. My contact information is available at www.maylawpc.net.

I have been practicing for 15 years and am a few credits shy of getting my L.L.M., i.e., Masters of Law in Financial Services Law. I am a former General Counsel to an SEC registered broker-dealer and investment adviser, and I used to represent Fortune 500 securities firms in arbitration claims concerning their stock brokers.

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Answered on 3/08/11, 1:12 pm


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