Initiated By
FINRA
Allegations
NASD RULES 2110, 2310: EVERSON RECOMMENDED A VARIABLE ANNUITY TO HIS MEMBER FIRM'S CUSTOMER AND THE CUSTOMER PURCHASED AND INVESTED IN THE VARIABLE ANNUITY HE RECOMMENDED BUT HIS RECOMMENDATION WAS UNSUITABLE, IN LIGHT OF THE CUSTOMER'S AGE, INVESTMENT EXPERIENCE, FINANCIAL NEEDS AND THAT SHE COULD NOT BE EXPOSED TO MARKET LOSSES, GIVEN HER LIMITED FINANCIAL MEANS.
Resolution
Acceptance, Waiver & Consent(AWC)
Sanctions
Civil and Administrative Penalty(ies)/Fine(s)
Amount
$5,000.00
Sanctions
Restitution
Amount
$4,304.50
Sanctions
Suspension
Registration Capacities Affected
ALL CAPACITIES
Duration
10 BUSINESS DAYS
Start Date
7/20/2009
End Date
7/31/2009
Regulator Statement
WITHOUT ADMITTING OR DENYING THE FINDINGS, EVERSON CONSENTED TO THE DESCRIBED SANCTIONS AND TO THE ENTRY OF FINDINGS, THEREFORE, HE IS FINED $5000, SUSPENDED FROM ASSOCIATION WITH ANY FINRA MEMBER IN ANY CAPACITY FOR 10 BUSINESS DAYS AND ORDERED TO PAY PARTIAL RESTITUTION IN THE AMOUNT OF $4,304.50, PLUS INTEREST. SATISFACTORY PROOF OF PAYMENT OF THE PARTIAL RESTITUTION OR OF REASONABLE AND DOCUMENTED EFFORTS UNDERTAKEN TO EFFECT PARTIAL RESTITUTION SHALL BE PROVIDED TO FINRA NO LATER THAN 30 DAYS AFTER ACCEPTANCE OF THIS AWC. ANY UNDISTRIBUTED PARTIAL RESTITUTION AND INTEREST SHALL BE FORWARDED TO THE APPROPRIATE ESCHEAT, UNCLAIMED PROPERTY OR ABANDONED PROPERTY FUNDS FOR THE STATE IN WHICH THE CUSTOMER IS LAST TO HAVE RESIDED.THE SUSPENSION IS IN EFFECT FROM JULY 20, 2009, THROUGH JULY 31, 2009.
Broker Comment
FINRA SAID THE VA WAS NOT SUITABLE FOR THE CLIENT AND THAT I OWED A FINE OF $5000 AND THE CLIENT $4717.20 IN RESTITUTION. ALL FEES HAVE BEEN PAID IN FULL.