Former Mutual of Omaha broker accused of stealing $2.4 million from mostly elderly customers by selling a fake 4%-guaranteed investment agrees to settle fraud charges and pay monetary relief.
Sanction is latest in string of fines against firms accused of selling high-cost fund share classes to certain retirement plan and charitable-account clients eligible for less expensive shares.
Phillip Frost seeks to rescind December 2018 deal in which he sold 51 million shares to Ladenburg at $2.50 a share and enjoin its $3.50-per-share merger deal with Advisor Group.
Finra suspends former Raymond James independent broker and fines him, highlighting UIT sales issues that led the Florida firm to a $15 million settlement with the SEC.
Two affiliates of the independent broker-dealer say that the SEC’s $21 million lawsuit ignores “fulsome” website disclosure of conflicts of interest involving mutual fund sales.
But a close look at the seven letters Clayton highlighted, and about two dozen others submitted to the SEC by supposedly regular people, shows they are the product of a misleading — and laughably clumsy — public relations campaign by corporate interests.
Morgan Stanley’s systems failed to put some retirement plan clients and charitable accounts into less expensive fund-share classes that were created for them.
The Commission settled with 17 firms, including 16 who participated in its self-reporting initiative, over allegations they failed to failed to properly disclose conflicts related to receipt of 12b-1 ‘distribution’ fees from fund companies.
SEC orders RIA affiliate of Parkland Securities and Sigma Financial to pay $2.5 million, the same day it fined Morgan Stanley $225,000 for unsuitable municipal bond sale recommendations.