FINRA’s Department of Enforcement initiated an investigation into Ames’ alleged misconduct. Specifically, FINRA’s investigation concerned allegations Ames paid the premiums of at least ten customers of Allstate Financial’s affiliate life insurance company in order to receive unwarranted incentive compensation. In connection with this investigation, FINRA sent Ames a request to provide documents and information pursuant to FINRA Rule 8210. According to FINRA, Ames acknowledged receipt of FINRA’s Rule 8210 requests; yet she failed to cooperate with FINRA’s investigation.
Based upon the foregoing alleged misconduct, FINRA asserted Ames violated FINRA Rules 2010 and 8210. Specifically, FINRA Rule 8210 authorizes FINRA, in the course of its investigations, to require persons associated with a FINRA member to “provide information orally, in writing, or electronically . . . with respect to any matter involved in the investigation...” Here, Ames failed to provide information in response to FINRA’s request, thereby violating FINRA Rule 8210.
Lufrano Law, LLC is a national securities litigation firm and has experience representing investors who have investment disputes with brokers and broker-dealers. If you suffered investment damages with Ames while employed by Allstate Financial, you may be able to recover your losses through FINRA arbitration. Our firm only receives a fee if you recover money. Please contact one of our attorneys at (800) 627-2179 to schedule a free consultation.