David Robert McDonnell, a local Laguna Beach businessman, recently pleaded guilty to wire fraud and nearly $6 million embezzlement from his elder clients over several
years. This is a wake-up call, and why is it so important to check the professional credentials of anyone managing your estate or your money.
In the estate planning world, Professional fiduciaries work as trustees, attorneys-in-fact, executors and health care agents, and they must be licensed by the State of California’s Professional Fiduciaries Bureau. McDonnell is not licensed as a fiduciary. A quick check on the CA Department of Consumer Affairs License search page confirms this. In addition, to protect investors and ensure the market’s integrity, the nonprofit FINRA—Financial Industry Regulation Authority plays a critical role in governing the ethical activities of all registered U.S. brokers/dealers. Inquiring into McDonnell’s background at Broker Check by FINRA verifies his (now barred) broker’s license, and it also reveals “disclosures” from 2022 that potentially signified a customer dispute or infraction. Scamming will worsen as technology advances and the U.S. population ages.
Folks who solicit our business aren’t always who we think they are.
Peter Kote, Laguna Beach
