"This is a bait and switch case," Tepper's claim against AmTrust contended. A FINRA arbitration panel awarded Froess full restitution of his losses, plus $7,000 in what would have been accrued interest had his investment performed as promised.
AmTrust did not return a call seeking comment.
Although it is hard to estimate how often banks try to game elderly consumers, or which banks incentivize their tellers to steer clients to investment advisers, the end result is alarming.
"Anytime somebody tells you to go see a financial adviser, you ought to ask yourself what interest they have in making that suggestion," Tepper said. "Banks should have signs to make it clear that the financial brokers they refer people to are not bank employees, because of the possibility of confusion. The banks are taking advantage of confusion."
Tags: AmTrust, AmTrust Financial Services, bank scams, bank screwups, money management, Senior Citizens, senior scams, wachovia bank
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