A teenaged cancer survivor trusted a financial advisor with money to cover his treatment and future college expenses.
$25,000 raised in a fundraiser turned over to Michael "Red" Welke of growth partners Inc. But Alex Stowe says within months of writing the check he was shocked when Welke told him the money was gone.
Alex’s mother Luanne Pane says, “It was trust with Mr. Welke because he told us it was foreign currency and informed us the bottom had fallen out and everything was gone.”
Alex and his mother claim Welke told them the fundraising money would be invested in foreign currency. But in a lawsuit against Welke, Alex and his mom allege the money was put into something far more risky like a hedge fund.
Alex says, “That’s absolutely unfair. You can’t take my money and say it’s for one thing and put it into something else. I’d never had okayed putting my money into that.”
During trial Welke’s attorney Anthony Ike argued that Alex and his mother had been warned there’s no guarantee in the investment before they gave Welke the $25,000 check.
Though Welke declined comment leaving court his attorney Ike says, “There was no fraud, there was no misrepresentation. Mr. Welke was only trying to help out.”
Midway through the trial judge Lyn White realized she had been invited the Alex’s fundraiser. Though she didn’t attend, judge White ruled she wanted to avoid any potential appearance of a conflict.
So the trial will be delayed until assigned to a new judge. No date has been set.