On March 22, 2019, EDWARD EARL MATTHES (ED MATTHES) CRD#: 2788055, a former independent contractor for Mutual of Omaha in Oconomowoc, Wisconsin, was barred by FINRA from acting as a broker or otherwise associating with a broker-dealer firm.

Additionally, ED MATTHES has been permanently barred, according to a cease and desist order, from The Wisconsin Department of Financial Institutions (DFI). News reports say that the order may be followed up by criminal proceedings if allegations are proven. The investigation has been turned over to the FBI.

In March of 2019, the Oconomowoc, Wisconsin, Police Department received approximately one dozen complaints against ED MATTHES alleging fraud.  According to the Wisconsin DFI, Matthes “misappropriated at least $1.03 million from six insurance clients’ Pacific Life annuities.”  This allegedly occurred from 2013 until 2018.  Matthes was a registered representative of Mutual of Omaha Investor Services Inc. from March of 2012 until March of 2019, and an investment advisor representative of Mutual of Omaha from February of 2014 until  March of 2019.

According to reports, ED MATTHES, was previously a respected member of his community.  His clients allege they were instructed to give Matthes access to their accounts.  According to reports, Matthes allegedly asked them to complete an authorization on their variable annuity contracts which would authorize him to act on their behalf over the telephone or electronically regarding withdrawals.  Matthes, allegedly included his own personal checking account information on the clients’ annuities contracts in place of his clients’ accounts. He could then withdraw funds into his own personal bank account by telephone or online without the clients’ knowledge or consent.

According to the order, ED MATTHES, allegedly hid the withdrawals from his clients’ accounts by creating false forms on Mutual of Omaha letterhead and gave fictitious account information to his clients.

The order stated that from June of 2013 until March of 2019, at least 20 clients invested approximately $1.37 million a fictitious “fixed” investment that was allegedly offered by Matthes,

ED MATTHES, according to reports, convinced his clients to allegedly liquidate preexisting securities and annuities and put their funds in this “fixed” investment.  Allegedly, Matthes told the clients they would get an annual interest rate of up to 5% for a term of five years and it was offered by Mutual of Ohmaha, according to the order.  No such “fixed” investment exists.

Once the clients agreed to the investment, ED MATTHES would then deposit the investors’ checks into his own personal checking accounts for his own personal benefit, used for credit cards, home mortgage, child support, home improvements, etc., according to the order.  Allegedly, Matthes sent out fictitious account summaries on Mutual of Omaha letterhead to clients to cover this scheme.

According to FINRA’s BrokerCheck, ED MATTHES has 20 Disclosures on his report, 15 are Customer Disputes.  Matthes has been in the securities industry for 20 years and was listed with 5 firms, the most recent listed below:

04/11/2012 – 03/25/2019  MUTUAL OF OMAHA INVESTOR SERVICES, INC – OCONOMOWOC, WI

06/09/2006 – 02/21/2012  THRIVENT INVESTMENT MANAGEMENT INC.  -OCONOMOWOC, WI

If you or a loved one were a victim of this alleged fraud by former MUTUAL OF OMAHA INVESTOR SERVICES, INC of OCONOMOWOC, WI, broker, ED MATTHES, contact Soreide Law Group and speak to an experienced securities lawyer at no cost to you regarding the possible recovery of your investment losses through a FINRA arbitration at: 888-760-6552.

Soreide Law Group represents clients nationwide before FINRA and we operate on a contingency fee basis—no fee if no recovery.