Advisor Accused of Stealing Millions From Widowed Aunt, Former Exec

What You Need to Know

Advisor Scott Mason’s aunt alleges he took over $3.2 million without consent.
A retired Equitable Financial CFO contends Mason and his firm drained at least $20 million.
Mason spent the money on, among other things, an investment in a mianature golf course and an endowed head hockey coach position at his alma mater, the suits allege.

Financial advisor Scott J. Mason and his suburban Philadelphia investment firm face at least two civil lawsuits alleging they siphoned millions of dollars from clients, including his widowed aunt and a retired Equitable Financial executive who contends the advisor plundered his life savings.

The Securities and Exchange Commission and the Federal Bureau of Investigation are investigating Mason, according to a plaintiff’s attorney. Another plaintiff’s lawyer suggested there may be several other investors in similar straits.

A third civil complaint targets the same defendants but details weren’t immediately available.

A Retired Executive

Stanley B. Tulin, a 74-year-old former chief financial officer of Equitable Financial who retired to Florida, filed suit in Montgomery County Common Pleas Court in Pennsylvania against registered investment advisor Rubicon Wealth Management, based in Blue Bell, Pennsylvania; Mason and his wife, Lynne Nowadly Mason; and a business, Orchard Park Real Estate Holdings, that shares an address with the couple.

Tulin filed the suit in early August after an FBI agent contacted him on July 15 and advised him that the bureau was conducting a criminal investigation of Mason and that the advisor may have stolen money from him, the lawsuit alleges. 

Tulin contacted accountants and lawyers, according to the suit, which contends Mason and Rubicon drained his accounts, either closing them or leaving them with few assets. 

The complaint alleges Mason and Rubicon ultimately converted over $20 million from Tulin and his wife, Riki Tulin. The defendants used those funds to pay for vacations, real estate, elaborate weddings for their children, donations to the advisor’s alma mater and other personal expenses, it says.

Hobart and William Smith Colleges announced last year that the Masons, both alumni, had provided a gift that the schools were using to create an endowed head hockey coach position.

“Instead of protecting the wealth of Mr. Tulin and his family, as directed, Mason plundered it,”  the complaint states. “Operating through Rubicon, Mason stole tens of millions of dollars from Mr. Tulin — the vast majority of Mr. Tulin’s savings over the past 30+ years.”

Tulin engaged Mason, through Rubicon, in the late 1990s to serve as his investment advisor, with “limited discretion to pursue an extremely conservative investment strategy,” it says. Mason also served as administrative assistant to manage Tulin’s bills, charitable contributions, children’s and grandchildren’s school costs and other expenses, the lawsuit states.

Lynne Mason assisted with these tasks, the complaint says, alleging that Rubicon and the Masons, rather than Tulin himself, received all account statements and notices. Tulin paid Rubicon 1% of his assets under management starting in the 1990s for these services; around 2010 and later, these payments averaged $275,000 a year, the lawsuit says.

“Mr. Tulin trusted Rubicon and the Masons completely, and he was willing to pay these significant sums for peace of mind knowing that they were protecting and managing his finances,” the suit says. 

Tulin’s net worth should have grown to more than $30 million based on his executive compensation and the returns his investments should have received, the lawsuit contends. In March, Rubicon and Mason reported they were managing about $28 million in Tulin’s assets and projected that $22 million should last at least 20 years, the suit alleges.

Mason and Rubicon “unlawfully stole for their personal use tens of millions of dollars of Mr. Tulin’s money. They grossly abused Mr. Tulin’s trust and violated their fiduciary duties to Mr. Tulin,” the suit asserts.

From at least 2010 through mid-2024, Mason and Rubicon perpetrated a fraudulent scheme through different methods, including transferring funds from accounts associated with Tulin to Orchard Park, a shell company that shares the Masons’ home address in Gladwyne, Pennsylvania, the suit alleges.

Mason and Rubicon also obtained a $5 million credit line from JPMorgan Chase in the Tulins’ names and used the money for themselves, later forging the Tulins’ signatures to extend the credit line, the lawsuit asserts, citing other allegations involving theft, a falsified signature and fake financial documents.

Tulin has yet to trace the full scope of the misappropriation and how his funds were used, the suit says. He claims breach of fiduciary duty and fraud against Mason and Rubicon, among other allegations, and unjust enrichment against Lynne Mason.

Stephen Miller, Tulin’s attorney and the co-chair of white-collar defense and investigations at Cozen O’Connor, told ThinkAdvisor by email Tuesday that the FBI and SEC are investigating and interviewed Tulin last month.

“The case is unusual in its scale and depravity. Stan Tulin saved his whole life to be able to provide for his family and the charitable causes he valued. Scott Mason stole almost all of that money,” Miller said.

Attorneys representing Mason didn’t immediately respond to emails seeking comment. A message sent to Rubicon Wealth Management’s LinkedIn account didn’t prompt an immediate response, and the link to the firm’s website was broken.

The SEC doesn’t comment on the existence or nonexistence of a possible investigation, a spokesperson told ThinkAdvisor by email. The FBI made a similar statement, citing Justice Department policy. 

Mason has been registered as an investment advisor through Rubicon since 2008, and also was registered with Lansing Street Advisors from March 15, 2023, through July 31 this year,  according to his Investment Adviser Public Disclosure report, which shows no disclosures.

A Widowed Aunt

Star Sitron of Lansdale, Pennsylvania, a widow who turns 78 this month, filed suit in July seeking $3.7 million trebled, or tripled, against the same defendants and alleging breach of fiduciary duty, unfair trade practices and consumer protection violations against Mason and Rubicon.