FINRA Bars Broker From Industry For Allegedly Bilking Older Woman He Met at Church

Former Thrivent Investment Management Inc. broker Miguel Angel Hernandez is now barred from the brokerage industry. According to the Financial Industry Regulatory Authority Inc., he defrauded an older woman whom he met at church. He allegedly took $25K in ’10 but paid her back in ’15 after the misconduct was exposed.

Hernandez is accused of telling the customer that he needed the money to pay for expenses related to his tax business even though he doesn’t own that type of business. Instead, he allegedly used her funds for his own spending.

Hernandez purportedly promised the woman a 2% stake in this supposed business in five years in addition to quarterly payments of nearly $1100 for 3-to-10 years. Even though he is settling, Hernandez is not denying or admitting to the charges.

In other elder fraud news, U.S. Senator Susan Collins (R-Maine) is asking state securities regulators to help her move forward a bill that would make it easier for professional industry members to report when they suspect an older person is being financially exploited. Collins chairs the Senate Aging Committee. She made her request at a recent North American Securities Administrators Association conference.

If passed, the legislation would implement protections so that financial abuse could be reported across the states. While the bill already has several bipartisan cosponsors, it needs additional support to make it through the Senate Banking Committee and the Senate.

Older investors suffer $2.9B in losses yearly as victims of financial scams, and state regulators are ramping up their efforts to combat this type of elder abuse. Sometimes the fraudster is a member of the securities industry. There are also family members, caregivers, and friends that have been known to bilk senior investors.

If you or someone you love is a senior investor and you suspect that he/she is the victim of fraud, contact our elder financial fraud law firm today.

Former Thrivent broker barred from securities business for defrauding woman he met at church: Finra, InvestmentNews, May 17, 2016


Senate Aging Committee