DATES OF ALLEGED ACTIVITIES: 03/08/2003 THROUGH 07/30/2009

$5,000.00

$80,000.00

THE COMPLAINT AROSE IN CONNECTION WITH AN IRS GUIDANCE THAT LIMITED THE DEDUCTIBILITY OF EMPLOYER CONTRIBUTIONS INTO A 412I DEFINED BENEFIT PLAN. THE IRS RULING CAME AFTER THE RETIREMENT PLAN WAS PUT IN PLACE. THE NAMED REPRESENTATIVE MADE NO STATEMENT TO THE VALIDITY OF THE PLAN NOR DID HE PROVIDE TAX ADVICE ON IT. THAT INFORMATION WAS PROVIDED BY THE CLIENT'S ACCOUNTANT. THIS WAS NOT A SETTLEMENT OF A DISPUTE BETWEEN THE CLIENT AND THE REPRESENTATIVE AND WAS NOT BASED ON THE MERITS OF THE CLIENT'S SPECIFIC CONCERNS OR ANY FINDING OF FAULT OR WRONGDOING BY THE NAMED REPRESENTATIVE. THE NAMED REPRESENTATIVE WAS NOT A PARTY TO, AND DID NOT AGREE TO OR PARTICIPATE IN THE SETTLEMENT. THE NAMED REPRESENTATIVE DID NOT MAKE ANY PAYMENTS TO THE CLIENT AND WAS NOT ASKED TO AND DID NOT CONTRIBUTE TO THE SETTLEMENT AMOUNT. THIS MATTER IS BEING REPORTED PURSUANT TO THE REQUIREMENTS OF FINRA REGULATORY NOTICE 09-23.