Investors Capital Sued Relating
to Unsuitable Sales of Equity-Indexed Annuities

he Massachusetts Securities Division has filed a complaint with alarming allegations against Investors Capital Corp. for unsuitable, deceptive and commission-motivated sales of equity-indexed annuities.

Several investors have been victimized, including a 71 year old who needed access to her funds yet was sold $700,000 worth of annuities which essentially locked up her money for 15 years.

The complaint names Investors Capital, Eastern Point Advisors, Investors Capital Advisory and the following advisers in particular: Thomas Allen Nix, Murray Joseph Miller, Anthony v. Maraschiello, John Christopher Huck, Michael John Murphy, and Frank Ralph Sylvester, Jr. According to the complaint, these and other advisers "deceptively held themselves out as financial planners or investment specialists, only to induce unsophisticated customers into purchasing unsuitable equity-indexed annuities." Further, Investors Capital was aware of these practices yet turned "a blind eye", choosing instead to receive payoffs from insurance company product vendors. The Massachusetts Securities Division's complaint may be found at http://www.sec.state.ma.us/sct/scticc/ICC_Complaint.pdf.

Shaheen, Novoselsky, Staat, Filipowski & Eccleston will continue its investigation and nationwide prosecution of claims on behalf of investors to recover investment losses and/or rescind unsuitable and deceptively sold equity indexed annuities.