Palm Beach Post

That seems pretty messed up to me.

GO OWLS!!!

Lm77 said

Palm Beach Post

On one hand, it seems to be a way to ensure making $100 million. In fact, it would be nice if we could do this method plys fundraise as we normally do to double the income.

That being said, the last thing we want is to be involved in something unethical or criminal. Between the corvette and Davenport, I think we've had enough excitement for the decade. I'd like to see FAU transition into a phase of respectable money-making and academics.

Input from our peer institutions affects our U.S. News Rankings, which is important as we try to move up to Tier 3.

If this was criminal, this wouldn't be brought to the table to be considered for fund raising. Unethical is another thing. I'm not by any means a life insurance expert. Thats why I have an agent. I'll ask my agent if he knows anything about this. This thing only works for me if it is a win-win for both parties. If the policy holder is getting screwed, then I'm not for it. I'll find out more about it.

I guess the worst thing about this is that only very elderly, sick and people who are expected to die soon are sought out for their policies. Its a reputation thing. It doesn't sound like something that would be too appealing to make known to the public.
"FAU raises funds by purchasing life insurance policies from people they hope will die soon."

Other universities, like UM, have gotten funds through traditional methods with great success. As a matter of fact, hasn't UM just undergone an extensive fund raising campaign? Like hundreds of millions of $.

I really hope the next guy they bring in for fund raising is a good one.

I remember when Paton left for another college and it was annouced that Davenport was to replace her. My thoughts were, if he was qualified to do the job, why did they hire Paton. As it turned out, he isn't qualified.

Hitting up century village would be a goldmine!!!!

GO OWLS!!!!

We need honorary assistant coach Gary to check this "deal" out.

As much as I would like to get my money's worth from any insurance company I would be a little hesitant of someone peddling an insurance "deal" who will benefit financially. I hope Mr. Brogan does his research on this one.

FAUFBL said

We need honorary assistant coach Gary to check this "deal" out.

As much as I would like to get my money's worth from any insurance company I would be a little hesitant of someone peddling an insurance "deal" who will benefit financially. I hope Mr. Brogan does his research on this one.

The university no doubt has its own legal council.

I just spoke to my insurance agent. He knew what I was talking about long before I got through describing it. It evidently is very common. He used one of the words in the article, viaticals. He seemed to know quite a bit about these things.

The down side, the foundation will have to provide the capital out lay to buy these policies. Some of these policies might have to be held for a long period of time producing no income until they are paid off. It will take alot of money to buy these policies.

He wasn't too sure how this would be set up. Its not nearly as simple as people might think or is covered in the article.

The up side is buying life insurance policies is much more of a common thing than we thought and is not unethical or illegal by any means.

illinoisowl said

 The down side, the foundation will have to provide the capital out lay to buy these policies. Some of these policies might have to be held for a long period of time producing no income until they are paid off. It will take alot of money to buy these policies.

I'm just curious if Barry Kaye stands to make any money by having the FAU Foundation buy these policies… sort of a middleman fee.

I would be nervous about putting out a lot of money on the hope that they will eventually yield a lot of money. We could sit on our eggs for a long time and get a lot of bad press, which is the last thing we need.

I would push for a traditional money-making approach.

If you think about it, the stock market is legalized gambling but no one would criticize FAU for that investment because it has been around for so long. Same investment required and may or may not see any return for a long time. I certainly would not count on either investment to raise "quick" cash. Maybe diversify into something like this for long term, but we also need a lot of money now. Go Owls!