Can I See Some Identification?

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On November 4, 2009, in Investor Protection, Investors at Risk, Scams, Securities Industry (general), by Investor's Watchblog

When I was a kid I worked in a liquor store. One day I was behind the counter with the owner, Tony Cianciola, a great guy. This guy comes in, stops by the cooler and plops a twelve pack of Budweiser on the counter. He looks tired, like he’s spent all day being beaten up [...]

When I was a kid I worked in a liquor store. One day I was behind the counter with the owner, Tony Cianciola, a great guy. This guy comes in, stops by the cooler and plops a twelve pack of Budweiser on the counter. He looks tired, like he’s spent all day being beaten up by a boss who doesn’t appreciate him. Whether it’s beer he needs or not, this guy needs a break.Now this was back in 1980. The drinking age was 18. When I looked at the guy and said, “Can I see your driver’s license?” Tony wheeled around and said “No, Pat,” like I had asked the Pope if he trusts in Jesus. ”Let’s see it,” I said.

“There’s no point in showing it to you,” the guy said. ”I am not old enough to buy beer.” He left the beer on the counter and walked out of the store. To be fair to Tony, the guy looked like he was 35 years old and I had an advantage; he had played Little League baseball with one of my little brothers a couple of years before. I knew he was no more than 16 years old.

When it comes to dealing with stockbrokers and unregistered investments, you are Tony, seeing what these guys want you to see. I am the guy who has played Little League with these guys and therefore cannot be blinded by their act.

We never did find out whether the cops had sent the kid into the store as part of a sting. If so, the consequences of selling to him could have been disastrous for Tony. The metaphor holds for you. Unless you speak to someone who knows something more about these guys than what they are telling you, your chances of escaping with your nest egg are extremely low.