Attention Gary Gustave Benson Customers: Over $200k in GWG L Bond Complaints Filed

February 27, 2023

Investment Losses With Gary Gustave Benson of Pash & Benson International? KlaymanToskes Has Recovery Options

National investment fraud lawyers KlaymanToskes is investigating Gary Gustave Benson (CRD# 1182211) of Pash & Benson International LTD., and Independent Financial Group, LLC, following a recent investor complaint alleging $200,000 in damages due to unsuitable GWG L Bond investments. The Encino, California-based stockbroker and investment adviser has ten additional customer complaints, of which eight have been settled in favor of the investors in the collective amount of $985,500

If you suffered investment losses with Gary Gustave Benson at Pash & Benson International and/or Independent Financial Group, LLC in Encino, CA, you are encouraged to contact attorney Lawrence L. Klayman, Esq. at (888) 997-9956 or lklayman@klaymantoskes.com to discuss recovery options. We offer free consultations and do not collect attorney’s fees unless we are able to obtain a financial recovery for you.

Gary Gustave Benson: 11 Investor Complaints Filed 

According to FINRA Brokercheck, Gary Gustave Benson has 11 disclosed investor complaints. 8 out of 11 have been settled in favor of the investors in the collective amount of $985,500. The most recent complaint is pending and the remaining two complaints were closed. 

  1. Investor alleges unsuitable investment recommendations in GWG L Bonds.
    (Pending – Alleged Damages $200,000) 
  2. Investor alleged inaccurate minimum income figures were provided on one of the annuities purchased. The investor had two other annuities with minimum income benefits that had increased to higher minimum income amounts. The combined total minimum income benefits on all annuities were higher than amounts originally presented. The combined total amount the client invested in all annuities was much higher in value.
    (Settled in favor of the investor for $142,500) 
  3. Investor alleged unauthorized and unsuitable trading 
  4. Investor alleged she should have been the beneficiary on her sister’s IRA account. [family member] chose not to list [customer] as beneficiary at any time. Investor alleged first cause of action for conversion, second cause of action for breach of fiduciary duty, and third cause of action for imposition of a constructive trust.
     (Settled in favor of the investor for $210,000) 
  5. Investor alleged she sold a property and did not want to pay taxes. She did a 1031 exchange into 3 TIC investments. The 3 properties were not paying an income. Investor felt these recommendations were unsuitable.
    (Settled in favor of the investor for $483,724) 
  6. Investor alleged Benson failed to conduct reasonable due diligence, misrepresentation and that the investment was unsuitable given her financial situation, needs, and investment objectives.(Settled in favor of the investor for $225,000) 
  7. Investor alleged misunderstanding and lack of detailed information on investment.
    (Settled in favor of the investor for $30,000) 
  8. Investor alleged breach of fiduciary duty.
    (Settled in favor of the investor for $110,000) 
  9. Investor alleged that her ING Variable Annuity does not “work” as originally presented. 
  10. Investor alleged negligent misrepresentation of facts, breach of fiduciary duty and negligence in connection with the purchase of various public limited partnerships, mutual funds and a single premium deferred annuity totalling $281,000.
    (Settled in favor of the investor for $40,000) 
  11. Investor alleged their adviser implemented stock sales with other brokerage firms causing capital gains taxes. (Settled in favor of the investor for $13,000)

Unsuitable Investments in High-Risk GWG L Bonds? 

KlaymanToskes is currently representing investors who sustained significant losses in GWG Holdings, Inc. (OTCMKTS: GWGHQ) L Bonds and is investigating the misappropriation of investor funds. Investors are encouraged to learn more about GWG L Bond Investment Recovery Options.

GWG L bonds were marketed as safe and low-risk investments that were instead unrated, illiquid, high risk, and speculative. GWG disclosed on the second page of its 2020 Prospectus, “L Bonds are only suitable for persons with substantial financial resources and with no need for liquidity in this investment.” 

Although GWG filed for chapter 11 bankruptcy in April, 2022, investors may still pursue individual FINRA arbitration claims against the financial advisors and firms who sold this speculative security. 

Contact attorney Lawrence L. Klayman, Esq. for a free and confidential consultation at (888) 997-9956 or lklayman@klaymantoskes.com to discuss your potential case. We offer free consultations and every case is taken on a contingency basis, meaning we do not collect attorney’s fees unless we are able to obtain a financial recovery for you.

In August, 2022, KlaymanToskes filed a related FINRA arbitration claim (Case No. 22-01932) against Craig Lee Carson (CRD# 41892), on the behalf of an 82-year-old widow seeking to recover over $220,000 in damages sustained in GWG Holdings, Inc. (OTCMKTS: GWGHQ) L Bonds. 

To learn more about this case read our blog post: 

Intervest International Broker Craig Lee Carson Resigns Following Allegations of Over $10 Million in Damages to Customers

About KlaymanToskes

KlaymanToskes is a leading national securities law firm which practices exclusively in the field of securities arbitration on behalf of retail and institutional investors throughout the world in large and complex securities matters. The firm has recovered over $250 million in FINRA arbitrations and over $350 million in other securities litigation matters. KlaymanToskes has office locations in California, Florida, New York, and Puerto Rico.


KlaymanToskes, P.A
Lawrence L. Klayman, Esq.