Senior beware

FOX Tampa Bay

Monday, 06 Oct 2008, 4:20 PM EDT

Alex Sink is warning seniors about unscrupulous insurance agents and financial advisers.

TAMPA – Some Bay Area seniors say they were ripped off buying annuities - long-term investments that promise income for a period of time - probably longer, state investigators say, than most of them will live.

The State of Florida is now warning seniors about unscrupulous insurance agents and financial advisers may try to promise people they can get money out of investments without penalty.

One of the victims is 89-year-old Mary Nusser. The state helped her win a big settlement from an insurance company, but then she says she lost it to John Morehart, who awaits trial for crimes against the elderly, and his wife Debra.

"I'd like to see him sitting in jail, but he's still out doing it," said Nusser.

Bonnie Madden, 81, says she didn't realize her agent was forging her name, and taking her retirement money down from $300,000 to $30,000 in just three years.

"He was super friendly. I was supposedly like his second mom, and really won me over. I really trusted him," she said.

Madden is one of the lucky ones. The state got back nearly $300,000 of her dollars. But sadly, that's the exception not the rule.

"My advice is that they understand what they are signing and don't sign anything they don't understand and is not totally filled out," offered Ruth McCarty with State Consumer Services.

"None of us wish that our parents are preyed upon by these bad actors," said Florida Chief Financial Officer Alex Sink.

The problem has gotten so bad that not ever Sink knows how much money has been stolen. That's why a task force is beginning work to put the bad guys behind bars. Sink is trying to convince the Legislature to make the penalties for those who prey on the seniors over the complex annuity investments felonies.

Believe it or not, right now, they are misdemeanors so long as you have a state license.