LPL to Pay $250,000 to Securities Regulators for Senior Certifications

Massachusetts’ regulator, William F. Galvin accused LPL of approving broker use of senior-specific titles on business cards that did not comply with state regulations. LPL conducted an internal review and found that at least 10 brokers’ titles did not comply with state regulations. LPL did approve the titles on the business cards. LPL agreed to a cease and desist order that stated the following: “Since June 1, 2007, LPL did not establish, maintain, nor enforce a procedure to review senior-specific titles for compliance with the Senior Designations Regulations in the Commonwealth.” LPL also recently faced state regulators over failure to supervise claims. The firm paid $541,000 to reimburse seniors after they failed to properly supervise charges that seniors paid when switching variable annuities. In 2012, the firm was also sued over sales practices concerning real estate investment trusts (REITs). The firm allegedly failed to supervise its brokers as well. If you would like to sue LPL Financial, please call us at 312-332-4200 to speak to an attorney. We sue LPL in the arbitration forum to help investors recover their money.