ORLANDO, Florida – A 90 – year – old Florida native who had won $ 278 million from a Powerball winning ticket six years ago, is suing her son and his financial advisers, claiming that he "s not worth it. Money had been invested in low yielding investments while she was charged $ 2 million in fees.
Gloria Mackenzie's complaint last month in Jacksonville court against her son, Scott, and his financial advisers alleges breach of fiduciary duty, breach of contract, negligence and exploitation of a vulnerable adult.
Scott Mackenzie had power of attorney over his mother's finances.
As a widow of a laborer and with little money until the age of 80, Gloria Mackenzie says she had very little education in managing a large sum of money and that she was counting on her son.
"Before her chance, Gloria lived in a small rented duplex … for $ 375 a month," said the prosecution. "His income was modest, fixed and came from his monthly social security pension and his little widow."
The lawsuit revealed that low yielding investments in CDs and money market accounts cost her tens of millions of dollars that she could have earned with another investment strategy.
Scott Mackenzie told the court that there was no justification for litigation simply because the investments had not increased as his mother had preferred and the value of the investments had never declined.
His mother's claims "rest solely on allegations that Scott introduced Gloria to an investment adviser who placed him in prudent investment vehicles, in accordance with his chosen investment objectives, and effectively preserved its heritage, "he said in court documents.
In May 2013, at the age of 84, Gloria Mackenzie purchased a winning ticket for the $ 590 million Powerball Prize. After agreeing to receive a lump sum and deducted from her taxes, Gloria Mackenzie won $ 278 million. She gave half of her earnings to her son, who had promised to look after her for the rest of her life, according to her trial.
When the family of Gloria Mackenzie's daughter informed her that the financial advisor, Hank Madden, had already faced a professional discipline, Scott Mackenzie threatened to disinherit them, the prosecution announced. Madden hosts a local radio show offering financial advice.
A judge had previously dismissed a similar action, but had allowed Gloria Mackenzie to file the amended complaint.
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