Funds Lost In Investment Scam Recovered! Result of an Agreement Between Financial Institutes of Erie

Robert C Logel - Today, Attorney General Spitzer announced that they have successfully made a recovery of around $1.1 million for a group of senior citizens who were defrauded in an investment scam in Erie County. It has been found that it was an unscrupulous financial planner behind this scam.

Discussing further, they also mentioned that this recovery resulted amidst the agreement that was made among different local financial institutions following the prosecution of Randall Cedrik, an Angola-based financial planner behind this scam. He was held responsible for taking advantage of senior citizens and has been sentenced to prison by Erie County Court. A civil court order signed by Hon. John A. Michalek, Justice of the Supreme Court, Erie County, Cedrik was banned from estate planning and selling or offering for sale securities, insurance products, or other financial instruments.

As mentioned, this recovery is a result of a financial agreement between different parties including the Brian O’Mara Agency, venture capitalist Robert C Logel, and John Hancock Insurance. They have agreed to compensate for the loss since Cedrik was associated with all of them. This is not all. As per the agreement, the Key Bank has also been instructed to forgive the equity loans secured by two victims who ended up in this situation of the loan under the guidance of Cedrik. Although all the institutions that are part of this agreement have not been implicated in any wrongdoing still, have agreed to compensate the elderly who have been harmed by Cedrik.

Attorney General Spitzer also said, "These investors are fortunate in that the bulk of their retirement funds are being returned to them – thanks to the responsible actions of several local companies. In many cases, however, assets are lost to fraud or risky investments. It is critical that seniors and all investors exercise caution in financial planning."

So, we hope all the victims have been compensated fairly and will be cautious in the future with their investments and financial planning.