PA. financial adviser sued for swindling mom, other relatives out of $400,000
November 19, 2014 by IFAwebnews Staff
Still waiting to learn whether he’ll face federal criminal charges, former financial adviser Jason Muskey, of Moosic, Pa., was sued Friday for swindling his mother, his wife’s uncle and aunt and two others out of almost $400,000 using a Ponzi scheme in the Northeastern Pennsylvania town.
The money included more than $25,000 in life insurance money that Mr. Muskey’s mother, Lynn Muskey, received when his father, Eugene Muskey, died in November 2006, according to the federal lawsuit filed by attorney Lawrence J. Moran Jr. and aimed at recovering the money.
Mr. Muskey used the money for his personal benefit and covered up the thefts for years by sending out phony quarterly financial statements that outlined phony investments to the clients, all “ordinary, hard-working, blue collar-citizens” who had saved money for retirement, the suit says.
The suit does not name Mr. Muskey directly. Instead, it targets Ameritas Life Insurance Corp. and Ameritas Investment Corp., both based in Lincoln, Neb. They were two of the companies whose life insurance and investment products Mr. Muskey sold, and they should have caught him before he got away with it, the suit says.
