WASHINGTON, 18 Feb – RIA Novosti. Florida resident Beverly Schottenstein, 94, has secured multimillion-dollar damages from her grandchildren who managed her fortune, Bloomberg reported.
The financial arbitration ruled that the grandchildren of the millionaire, Evan and Avi Schottenstein, as well as the JP Morgan bank, where they worked as consultants, are obliged to pay Beverly Schottenstein a total of $ 19 million in damages and legal fees. The plaintiff's lawyers were seeking $ 69 million in damages.
Beverly Schottenstein commissioned her two grandchildren to take care of her condition about 15 years ago. Evan and Avi, now 39 and 33 respectively, managed roughly $ 80 million from their grandmother's fortune.
Beverly Schottenstein's lawyers said the grandchildren carried out risky transactions on behalf of their grandmother and long-term investments in complex financial instruments that are not suitable for a 90-year-old investor. They also performed all kinds of operations without the depositor's permission in order to get the maximum commission for themselves. In addition, the grandchildren were accused of fraudulent spending of $ 1 million from the grandmother's credit card and of forging at least one financial document signed by her. Arbitration did not consider possible crimes, but, according to the agency, the brothers' activities have already interested, among other things, prosecutors in New York. Beverly Schottenstein herself, before demanding compensation from her grandchildren, kept a diary for about a year in which she recorded their alleged financial abuse.
Bank JP Morgan, where Evan and Avi Schottenstein worked, tried to disown the case, stating that it had nothing to do with the “family soap opera”. However, the bank fired the consulting brothers, although it paid for their representation in court.
Beverly's relatives were divided over whether her claim to arbitration was fair. Beverly's son, the father of Evan and Avi, demanded from her “not to wash dirty linen in public” and even got a written statement that she had no complaints about her grandchildren and that she was allegedly “angry for no reason.” But other grandchildren stood up for their grandmother and argued that Beverly signed a paper on no claims under threat of physical pressure.
Beverly Schottenstein herself told the agency that she considered it necessary to restore justice, stop the abuse of her grandchildren and bring to justice the bank that helped manage her money.
“These guys made a lot of money on me. They and JP Morgan had no right to go that far. JP Morgan should have stopped them, but he was making good money himself,” Beverly Schottenstein explained.
“It wasn’t about $ 25. It had to be done,” the 94-year-old millionaire said of her decision to seek justice in arbitration.