Beverley Schottenstein

At 93, She Waged War on JPMorgan—and Her Own Grandsons

bloomberg
flipboard

Feb 17, 2021

View the video and article on flipboard.com

Beverley Schottenstein videoBeverley Schottenstein said two grandsons who managed her money at JPMorgan Chase & Co. forged documents, ran up commissions with inappropriate trading and made her miss tens of millions of dollars in gains. So she decided to teach them all a lesson. View this video by clicking the image to the left or the link above.

Beverley Schottenstein

Schottenstein family dispute erupts in Florida with charges of elder abuse, financial fraud in $80 million estate

the columbus dispatch
By Jim Weiker – Feb 17 2021

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Beverley Schottenstein TrialBeverley Schottenstein isn’t exactly sure when she suspected her grandsons were cheating her.

Perhaps it was when they shredded her bank statements. Or maybe it was when she discovered they had created an email account in her name. Or when she noticed hundreds of thousands of dollars spent from her account.

But by the end of 2018, Schottenstein, a member of one of central Ohio’s most prominent families, was confident something was wrong.

The following year, she made the momentous decision to take action against her own family members, grandsons Evan and Avi Schottenstein, and their employer, JPMorgan Securities, for mishandling an account worth more than $80 million.

“For a long time, I was suspicious and I wasn’t at the same time. I just didn’t want to believe this,” said the 94-year-old widow of Alvin Schottenstein, part of the family that built a central Ohio retail fortune through Schottenstein Stores, Value City Furniture, DSW, Big Lots and American Eagle Outfitters.

“You don’t want to think your own grandkids are going to steal from you, but they were really doing this.” Read more

Beverley Schottenstein

The Schottenstein Family And Elder Abuse

npr.com

WOSU

By All Sides Staff – Feb 24, 2021

Click here to listen to the Audio Interview on Radio WOSU

A financial industry arbitrator in early February sided with Beverley Schottenstein in an elder abuse case, ordering her two grandsons and JP Morgan Chase to pay her $19 million.

Evan and Avi Schottenstein handled their grandmother’s fortune, valued at more than $80 million, until JP Morgan let them go. Through their attorney, they said they acted in accordance with her wishes.

Guests:

  • Tom Schoenberg, senior reporter, Bloomberg News
  • Beverley Schottenstein, of Bal Harbour, Fla.,
  • Cathy Schottenstein Pattap, author of “Twisted: Conflict, Madness, and the Redemptive Power of a Granddaughter’s Love,” a book about her grandmother’s elder abuse trial, and an English teacher.
Beverley Schottenstein

Ex-J.P. Morgan Brokers Push for $4-Mln Settlement with Grandmother in Schottenstein Case

advisor hub

By Jake Martin –  July 1, 2021

Schottenstein SettlementTwo ex-J.P. Morgan Securities brokers claim their grandmother reneged on terms to resolve their high-profile, high-dollar intrafamily dispute and are seeking to enforce a $4 million settlement of the issues they say she wrongfully dragged back to court, according to new filings.

Retail matriarch Beverley B. Schottenstein, 95, earlier this month filed a motion in U.S. District Court in the Southern District of Florida to reopen the case to confirm her $19 million arbitration award, issued in February by three Financial Industry Regulatory Authority panelists against her grandsons and their former employer over alleged unauthorized trading in her account and elder abuse.

Evan A. and Avi E. Schottenstein, who are brothers, previously opposed their grandmother’s petition in court to confirm the award, which had held them jointly liable for $9.8 million of the award total. They sought in March to vacate it before an oral settlement was reached and the case had been administratively closed. Read more

Beverley Schottenstein

Schottenstein Settlement Talks Fizzle; Grandmother Reopens Case Against Ex-J.P. Morgan Brokers

advisor hub

By Jake Martin – June 9, 2021

Read the article on advisorhub.com

Nanny Schottenstein

Beverley B. Schottenstein, 94, of Bal Harbour, Florida, who in February won a Finra arbitration award for $19 million against her grandsons, Evan A. and Avi E. Schottenstein, and their former employer, J.P. Morgan Securities.

Negotiations have broken down to settle a multimillion dollar, intrafamily dispute between retail matriarch Beverley B. Schottenstein and her grandsons, former J.P. Morgan Securities brokers accused of unauthorized trading in her account and elder abuse, according to a court filing.

Attorneys for the nonagenarian petitioner on Tuesday filed a motion in U.S. District Court in the Southern District of Florida seeking to reopen the case to confirm her high-profile $19 million arbitration award, rendered in February by a panel of Financial Industry Regulatory Authority arbitrators against her grandsons, Evan A. and Avi E. Schottenstein, and their former employer.

A written agreement of settlement has failed to materialize despite an oral agreement the Schottensteins had reached in March, according to the filing. Read more

Beverley Schottenstein

Florida woman, 94, wins $19 million fraud ruling against JP Morgan, grandsons

Tampa Bay Times

Feb. 9, 2021, by Jay Cridlin

Read the full article on tampabay.com

breaking newsBeverly Schottenstein, part of an Ohio retail dynasty, had alleged her grandsons had improperly managed her money.

A financial arbitration group has awarded nearly $19 million to a 94-year-old Bal Harbour woman who claimed her two grandsons, then brokers at JP Morgan Securities, mishandled her money by forging her signature and making unauthorized purchases.

Beverly Schottenstein, whose family fortune came from a string of retail chains, including DSW, American Eagle Outfitters and American Signature Furniture, filed the complaint through the Financial Industry Regulatory Agency, or FINRA, a non-governmental organization that enforces rules and settles disputes involving stock broker-dealers. Read more

Beverley Schottenstein

Wealthy Florida grandma reignites multimillion-dollar battle against two former JPM brokers — her grandsons

financial planning

By Lynnley Browning – June 9, 2021

Read the article on financialplanning.com

Beverley Schottenstein

Beverley Schottenstein at home in Bal Harbour, Florida. -Bloomberg News

So much for trying to make amends with family.

A multimillion-dollar battle has flared up again between a wealthy Florida grandmother and her two grandsons whom she accused of mishandling her money while working at J.P. Morgan Securities, a new court filing shows.

Beverley Schottenstein, 94, the heir to a retail empire that grew to include stakes in shoe retailer DSW and clothing chain American Eagle Outfitters, moved June 8 to reopen her high-profile lawsuit against her grandsons in a Miami federal court, records show.

Her filing is the first since March 18, when she put on hold her civil lawsuit against brothers Evan and Avi Schottenstein, her grandsons, following an arrangement by the parties to resolve things outside of a courtroom. That truce broke down, and the gloves are now off, according to her latest filing in Florida’s Southern District. Read more

Beverley Schottenstein

How to Keep Money From Destroying Your Family Relationships

Bloomberg Watch Article
By Suzanne Woolley – Feb 17, 2021

Read the article on Bloomberg.com

bloomberg wealth(Bloomberg) — You don’t have to be as rich as Brooke Astor for money to cause problems in the family.

Whether it’s fights over inheritance or simply disagreements over how money has been invested, the pain and anger tends to be magnified when relatives are involved. Disputes over financial issues can cause untold problems across all social spheres — even in families that don’t think of themselves as wildly dysfunctional. About 15% of siblings say they’ve had conflicts over issues such as inheritance and fairness, a 2017 survey by Ameriprise Financial found. In Astor’s case, her only son was convicted of siphoning millions from her estate while she suffered from Alzheimer’s — in particular, for giving himself a $1 million raise for managing her money. And then there was the teenage Pritzker heiress who sued her father and extended family, accusing them of looting her trust funds. Read more

Beverley Schottenstein

Opinion: It’s time to stop calling brokers ‘financial advisers’

marketwatch

March 18, 2021 – By Pam Krueger

Read the article on MarketWatch.com

Stop calling brokers financial advisors

Regulations and reforms to protect investors aren’t working and need repair.

This report misidentified the brokerage firm involved in the arbitration settlement. The story has been corrected.

A recent story about a 94-year old woman whose grandsons criminally mismanaged her wealth is just another reminder of how years of attempts to rein in the excesses of the brokerage industry have done little to protect consumers from harm.

For years, Florida retail matriarch Beverley Schottenstein trusted her two grandsons, both so-called financial advisers at brokerage J.P. Morgan Securities, to manage her investments. They exploited her trust by committing various kinds of fraud. According to a complaint Schottenstein filed with FINRA, the private body that oversees the brokerage industry, the grandsons forged her signature on key documents and bought and sold risky and expensive securities without her permission, resulting in losses of more than $10 million while generating hundreds of thousands of dollars in commissions for both themselves and J.P. Morgan. Read more

Beverley Schottenstein

Bilked wealthy Grandma reaches secret deal with two former JPM brokers — her grandsons

financial planning

By Lynnley Browning – April 16, 2021

Read the article on financial planning.com

Beverley Schottenstein Trial
The wealthy Florida grandmother who accused her two grandsons of mishandling her money while working at JPMorgan Chase apparently has a soft heart.

Beverley Schottenstein, 94, has waged high-profile battles with the Wall Street bank and her financial advisors there — her grandsons, brothers Evan Schottenstein and Avi Schottenstein— for allegedly abusing their fiduciary duty and making fraudulent misrepresentations while handling her roughly $80 million account.

In the weeks after industry watchdog FINRA ordered J. P. Morgan Securities and the two grandsons in February to pay her a collective $19 million — with more than $9 million coming from Evan Schottenstein — she quietly reached a deal with her grandsons that’s more favorable to them.

Under the arrangement, which is buried in a previously-unreported filing made last month in federal court in Miami, she plans to accept from at least one of the grandsons less than what FINRA ordered. Read more