Passage of HB 62 includes protection for senior investors

The Missouri General Assembly's May passage of House Billa 62 includes the Senior Investor Protection Act, a legislative priority of Missouri Secretary of State Robin Carnahan.

The act creates a statutory penalty of $50,000 for fraudulent acts committed against senior or disabled individuals and allows for mandatory restitution payments and an additional civil penalty of up to $5,000.

Schemes targeting seniors have increased in recent years in Missouri and across the U.S., with more than 5 million cases of financial exploitation of that group reported annually. As a result, Carnahan formed the Senior Investor Protection Unit in 2007. The unit includes attorneys, investigators and education specialists who investigate unsuitable recommendations and fraud cases against Missouri seniors.

That same year, her office released a report that found that "free lunch" seminars often are used to pressure seniors into unsuitable investments.

This year, she filed rules that stop securities brokers and investment advisers from using misleading credentials targeted at senior investors.

"Since taking office, I have cracked down on those targeting seniors and worked to get restitution for the victims of fraud," Carnahan said in a news release. "This bill's passage will ensure we can protect the citizens that are most often the victims of financial crimes."