FINRA

FINRA RULES 2010, 8210 - MARK TALLEY RECOMMENDED THAT HIS CUSTOMER REPLACE AN EXISTING VARIABLE ANNUITY WITH A NEW ONE AND MISREPRESENTED ORALLY AND IN WRITING THAT THE EXISTING VARIABLE ANNUITY WAS OUT OF THE SURRENDER PERIOD AND THEREFORE, COULD BE SOLD WITHOUT INCURRING A SURRENDER FEE WHEN, IN FACT, THE ANNUITY WAS STILL IN THE SURRENDER PERIOD AND THE CUSTOMER WOULD INCUR A $15,000 SURRENDER FEE IF THE ANNUITY WAS SOLD. THE CUSTOMER CONSIDERED TALLEY'S REPRESENTATION AND WITH THAT UNDERSTANDING, SOLD THE ANNUITY AND PURCHASED A NEW ONE. ON A SWITCH FORM, TALLEY FALSELY STATED HE HAD CALLED A SPECIFIC PHONE NUMBER AND VERIFIED THAT THE EXISTING ANNUITY WAS OUT OF THE SURRENDER PERIOD AND CLAIMED HE HAD OBTAINED THIS INFORMATION BY SPEAKING TO AN INDIVIDUAL TALLEY CLAIMED WAS AN EMPLOYEE OF THE INSURANCE COMPANY THAT UNDERWROTE AND ISSUED THE ANNUITY. IN FACT, TALLEY DID NOT CONTACT THE INSURANCE COMPANY AND THE INFORMATION HE PLACED ON THE FORM WAS FALSE. THE CUSTOMER SIGNED THE SWITCH FORM AND TALLEY SUBMITTED IT TO HIS FIRM. TALLEY PROVIDED PARTIAL TESTIMONY IN A FINRA ON-THE-RECORD INTERVIEW BUT FAILED TO APPEAR TO COMPLETE THE TESTIMONY. TALLEY'S ATTORNEY INFORMED FINRA HE DID NOT EXPECT TALLEY TO APPEAR FOR TESTIMONY.

Decision & Order of Offer of Settlement

Bar (Permanent)

All Capacities

2/11/2014

WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, TALLEY CONSENTED TO THE DESCRIBED SANCTION AND TO THE ENTRY OF FINDINGS; THEREFORE HE IS BARRED FROM ASSOCIATION WITH ANY FINRA MEMBER IN ANY CAPACITY.