Actress Julia Louis-Dreyfus and husband, writer-producer, Brad Hall have sued financial guru Bambi Holzer, claiming that misleading they were given misleading investment advice that cost them millions of dollars.
The complaint, filed Aug. 31 in Los Angeles Superior Court, alleges that the couple hired Holzer as an investment adviser in the mid 1990s when she was employed by Paine Webber, now know as UBS. She advised them to invest in a life insurance annuity contract and represented that they could withdraw the money at any time and would get a guaranteed annual 7% rate of return. They invested $2 million into the account in 1997. Subsequently, they invested almost $3 million in similar accounts.
In 2003, Louis-Dreyfus and Hall learned that several other clients had asserted claims against UBS and Holzer based on her investment advice. They learned that there was no guaranteed investment return under the contracts; any return was only payable as a death benefit and they could not withdraw the money during their lifetimes without paying penalties.
In 2004, the couple entered into a tolling agreement with UBS and Holzer, which preserved their claims from being barred by the statute of limitations. The tolling agreements were extended twice and are due to expire on September 27.
Holzer, who has her own financial group, is the author of four bestselling books on personal finance and a frequent speaker and television guest. She did not return a call seeking comment.