Milwaukee Thrivent/Mutual of Omaha Advisor Sentenced to Jail Over Fraud Scheme

Posted on June 8th, 2021 at 1:07 PM
Milwaukee Thrivent/Mutual of Omaha Advisor Sentenced to Jail Over Fraud Scheme

From the Desk of Jim Eccleston at Eccleston Law LLC:

According to the Department of Justice, a Milwaukee-based advisor was sentenced to at least five years in prison after defrauding investors of nearly $2.6 million. The Department of Justice announced that Edward Matthes has pleaded guilty to charges of wire fraud after defrauding 27 victims, including several elderly investors and his own parents. According to his BrokerCheck profile, Matthes worked in financial services for more than two decades at several firms including Thrivent Investment Managements and Mutual of Omaha Investor Services. 

Matthes began persuading clients to invest in several fictitious accounts at Mutual of Omaha Investor Services in April 2013. After persuading investors to transfer funds into the fictitious accounts, Matthes transferred the funds to his own person bank accounts of several occasions. According to the plea agreement, Matthes used the funds to pay for a new home, living expenses, vacations and vehicles. Additionally, Matthes continued to inform clients that their investments were performing well and went as far as to send out fake quarterly earnings statements. Some clients became suspicious with Matthes after they did not receive 1099 fax forms confirming the fund transfers. Matthes was fired from Mutual of Omaha Investor Services and barred from the industry by FINRA in March 2019. 

Eccleston Law LLC represents investors and financial advisors nationwide in securities, employment, regulatory and disciplinary matters.

Tags: eccleston, eccleston law, milwaukee thrivent, mutual of omaha, suspended advisor, fraud

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Jim, Stephany and the whole team were a God send.  We felt like we were put into a situation where we had no advocate. Jim’s team came in with a strong, well laid out strategy on how to get our story heard. Where our outside compliance company had no ability to help, our Broker Dealer was impenitent, and the regulators were aggressive pursuing vague rules, Jim came like a barricade against an assault we did not understand. Though you pay member dues to be affiliated with FINRA and a B/D, you have no voice. The only thing that is truly heard in this un-level playing field is a bulldog’s bark like Jim’s. I would encourage anyone to call Jim and his team to find a real ally in the tough and complicated world of securities regulation. They are truly the best.

Greg P.

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