Former broker who scammed elderly clients sentenced
NASHVILLE, Tenn. (WDEF) — The Tennessee Department of Commerce & Insurance (TDCI) , the FBI, and several law enforcement agencies have brought a financial fraud scheme to an end.
The Department says the scheme was based in Chattanooga.
John Allen Morris, Jr. was previously licensed as an insurance agent and annuities broker in Knoxville according to the Tennessee Department of Commerce & Insurance, but pleaded guilty to multiple fraud charges in October 2016.
Officials say the federal indictment outlines fake companies Morris established to sell nonexistent annuities to elderly clients and then used the money to pay his own bills.
A few days ago, TDCI says Morris was sentenced to three years imprisonment, five years supervised release, and restitution to victims of $1,194,744.
Officials say more than $1.14 million of that money is to be paid to eight elderly annuity fraud scam victims. The rest of Morris’s restitution will go to victims of his credit card scams, bogus condo rentals, and a scheme involving damaged Lamborghinis.