HAGENS BERMAN

Date Filed: March 9, 2010
Court: U.S. District Court
Location: Washington
Ticker Symbol: ING

Hagens Berman filed a civil lawsuit against ING Financial (NYSE: ING) and registered financial advisor, Rhonda Breard. The lawsuit, filed in U.S. District Court in Seattle on behalf of investors, claimed ING Financial was fully responsible for the millions of dollars lost by Breard's embezzlement scheme during her eight years with the company.

Breard conned millions from her clients by creating false statements and account records, the complaint charged. Her fraudulent practices were allegedly so compelling investors, and even their accountants, never questioned the validity of their accounts with ING Financial.

ING Financial knew Breard's professional record showed a long history of fraudulent activities and reprimands, the lawsuit claimed. The company was charged with failing to properly supervise and review Breard's investment practices, especially given her blemished professional history.

ING Financial settled similar cases with the state of Illinois in 2008 and the state of Massachusetts in 2007. In the Illinois case, ING licensed financial advisor, Nevin Gillette embezzled millions from his investors. The investment company was fined $110,000 and ordered to pay back Gillette's clients. Gillette was sentenced 11 years to federal prison.

Breard, a financial adviser licensed with investment giant, ING, from February 2002-2010, allegedly disappeared with millions of dollars stolen from her clients' accounts. On Feb. 10, 2010, the company terminated Breard's financial license in Washington, Oregon, Nevada, New Mexico, Wyoming, Arizona, North Carolina, West Virginia and Michigan. The decision came after investors complained that their investment funds disappeared and monthly account statements appeared to be altered.

The case settled in June of 2010.