Massapequa investment company reportedly misused millions of clients’ savings

Massapequa Investment Firm Accused of Misusing Retirement Funds

In Nassau County, a Massapequa-based investment firm is facing serious allegations of mishandling retirement accounts belonging to hundreds of clients.

Some victims have reported losing millions of dollars.

About 400 individuals claim they entrusted their savings to AG Morgan’s financial advisors, only to find themselves struggling to manage expenses from other sources. It’s heartbreaking to see people’s life savings invested in what was presented as a “safe and conservative” option.

Pat Butcher, one of the affected retirees, expressed her dismay, stating, “The complete horror is that I have worked for a lifetime and I will never see my funds again.”

Now, Butcher finds herself looking for paid work within her community at the age of 70, a reality she never envisioned for her retirement years.

“When you’re 70 and save life history and savings for retirement, you shouldn’t have to look for part-time jobs,” she commented.

After years in customer service and sales, Butcher had shifted her retirement funds from Goldman Sachs to AG Morgan, believing she was making a wise and safe choice.

The lawyer representing the victims indicated that similar pitches were made to many retirees, all promising seemingly secure returns.

“In the investment, they said they’d pay you monthly interest and return your principal at maturity,” explained plaintiff’s attorney, Stephen Tous. But that promise never materialized.

The FBI has confirmed that Butcher has been identified as a victim of a federal crime linked to AG Morgan’s CEO, Vincent Camarda.

When asked about her losses, Butcher revealed, “I’m out now, plus $204,000,” though she acknowledges this represents only a portion of her total losses.

The Securities and Exchange Commission filed a complaint in 2022, highlighting that AG Morgan allegedly sold securities unlawfully, involving over $500 million, while operating as an unregistered broker-dealer.

Attorney Stephen Toskes mentioned that he has handled over 12 cases, successfully pursuing three, including one just recently.

“The one we concluded today reported losses of over $1.1 million,” Toskes noted.

Frustrated with the situation, Butcher expressed her sentiments: “Frankly, I think they’re dirt bags. They live their lives, they’re happy like pigs. We’re struggling here.”