Recently, Joseph Caramadre (a Rhode Island financial planning guru) decided to try his hand. Believing that the Ocean State’s insurable interest requirement was weak, he decided it’d be a good idea to entice seniors (and folks knocking at death’s door) to purchase variable annuities which he would then either keep for himself or sell off to
Acting as a “charitable organization,” he’s created a furor in Rhode Island, but may not have done anything illegal.
Time will tell.
The court basically told Lone Star State authorities to pound sand, clearing the way for LP to continue on its merry way.