A former LPL Financial and Ameriprise representative has been charged with 14 counts of theft and one count of fraud-all charged as felony crimes-after he allegedly stole $5 million from over 20 people he was acquainted with through Little League and church. James J. Buchanan was indicted last May at Maricopa County Superior Court in Arizona.
Buchanan was affiliated with Ameriprise Financial before joining LPL in 2006. The alleged theft and fraud incidents occurred between 2001 and April 2006 when LPL fired him.
Investigators say that there have been a number of victims and unknown damages as a result of the theft and fraud crimes. Buchanan allegedly convinced a number of elderly investors to let him handle their life savings for them, while presenting himself as a certified financial planner.
Court documents portray the former adviser as committing affinity fraud, which involves fraud inflicted upon members belonging to a specific group or community. He was considered an honest Christian and was a church board member.
In March, one victim told police that she had been defrauded $200,000 and that Buchanan had asked her not to report him. The former adviser also is accused of stealing $1 million from the Christ Life Church of Tempe, Ariz. Another alleged victim, a retired cop, says Buchanan promised him returns on his investment and convinced him to retire early.
Elderly investors are often the target of investment scams. There are remedies available that could allow you to recover your losses.
Related Web Resources:
Ex-LPL adviser charged with fraud, theft, Investment News, May 30, 2008
Affinity Fraud: How To Avoid Investment Scams That Target Groups, SEC
One of our stockbroker fraud lawyers would like to talk to you. Contact Shepherd Smith Edwards & Kantas LTD LLP today.