Congress Will Grill Gold Dealer, Glenn Beck Sponsor

But as the ABC News investigation revealed, the questions about Goldline appear to be moving beyond political theatrics. In addition to the joint investigation launched by the Los Angeles County District Attorney and the Santa Monica City Attorney, a law firm in Texas announced Tuesday that it has filed a class action lawsuit against Goldline in the U.S. District Court in Greenville, South Carolina.

"Goldline grossly overcharges for its numismatic coins and bullion, falsely and deceptively claims that its products are 'good' investments, and its sales persons misrepresent themselves as 'Investment Advisors' or 'Financial Advisors' able to give 'investment advice' and imply that they have a fiduciary responsibility to get customers the most return on their investments," the lawsuit alleges.

"Goldline products are, in fact, a bad investment, and its marketing scheme is nothing more than a scam designed to induce market-wary investors to purchase numismatic coins and bullion worth far less than represented by Goldline and its outside associates," said the lawsuit filed by Houston attorney W. Craft Hughes.

Carter, the Goldline executive, attempted to address the question of whether the company offers investment advice during his interview on Good Morning America this morning.

CLICK HERE to follow the ABC News Investigative Team's coverage on Twitter.

"You're talking about investments here but in fact your sales people are not investment advisers," George Stephanopoulos noted to Carter during the interview. "And the reason for that is so they can avoid regulation by state regulatory authorities and the [Securities and Exchange Commission]. They don't have this legal and fiduciary responsibility to look out for the customer."

"You're absolutely right," Carter replied. "We are not legal advisers, but they do understand precious metals, and individuals are calling to diversify their portfolio … And we take great pride in how we treat our customers."

Click Here for the Blotter Homepage.

-- This embed didnt make it to copy for story id = 11205624. -- This embed didnt make it to copy for story id = 11205624. -- This embed didnt make it to copy for story id = 11205624. -- This embed didnt make it to copy for story id = 11205624. -- This embed didnt make it to copy for story id = 11205624. -- This embed didnt make it to copy for story id = 11205624. -- This embed didnt make it to copy for story id = 11205624. -- This embed didnt make it to copy for story id = 11205624. -- This embed didnt make it to copy for story id = 11205624. -- This embed didnt make it to copy for story id = 11205624. -- This embed didnt make it to copy for story id = 11205624. -- This embed didnt make it to copy for story id = 11205624. -- This embed didnt make it to copy for story id = 11205624.
Page
  • 1
  • |
  • 2
Join the Discussion
You are using an outdated version of Internet Explorer. Please click here to upgrade your browser in order to comment.
blog comments powered by Disqus
 
You Might Also Like...
See It, Share It
PHOTO: Firefighters rescue a woman who got stuck in a chimney in Thousand Oaks, Calif.
Ventura County Fire Department
PHOTO: Apple Pay is demonstrated at Apple headquarters on Oct. 16, 2014 in Cupertino, Calif.
Marcio Jose Sanchez/AP Photo
PHOTO: Up in Ash: Mount Sinabung Erupting
Tibt Nangin/Anadolu Agency/Getty Images
PHOTO: Defendant Jodi Arias testifies about killing Travis Alexander in 2008 during her murder trial in Phoenix, Feb. 20, 2013.
Charlie Leight/The Arizona Republic/AP Photo
PHOTO: Kim Kardashian, Kanye West, their daughter North West and Delphine Arnault attend the Givenchy show as part of the Paris Fashion Week Womenswear Spring/Summer 2015, Sept. 28, 2014 in Paris.
Bertrand Rindoff Petroff/French Select/Getty Images