NU Online News Service, Jan. 12, 2004, 4:23 p.m. EST – The NASD, Washington, has announced more than 75 disciplinary actions related to variable annuity sales since the beginning of 2001, according to NASD Vice Chairman Mary Schapiro.[@@]
“Given the popularity of this product, we will continue to focus examination and investigative resources on a wide range of variable annuity-related sales practices,” Schapiro says in a statement issued in connection with the NASD’s latest disciplinary action.
In the latest action, the NASD has barred John Steven Blount, a Lake Charles, La., advisor, from association with any NASD-regulated securities firm and ordered him to pay more than $1.5 million in restitution plus interest to 10 customers. The NASD has accused the advisor of making about $6 million in unsuitable sales of variable annuities and mutual funds.