Bankers Life and Casualty Co. of Chicago and its securities affiliate have been fined by the Texas Securities Board for operating as unregistered securities dealers and investment advisors in the state.
The two companies Bankers worked with in securities transactions, ProEquities Inc., based in Birmingham, Ala., and UVEST Financial Services Group, Inc. of Charlotte, N.C., were also fined.
Bankers Life is a subsidiary of CNO Financial, based in Carmel, Ind.
Bankers and its wholly owned subsidiary, BLC Financial Services Inc., will pay a $537,897 fine, according to legal documents filed in the state Sept. 5.
ProEquities was fined $8,207 and UVEST was fined $14,150.
Besides the fine, the Bankers entities will also have to hire an independent consultant to ensure compliance with the consent order.
Barbara Ciesemier, a spokesman for Bankers Life, said the fine reflects Texas’ participation in a settlement agreement between the North American Securities Administrators Association and BLC Financial Services, Inc. that was announced on April 4.
She said the penalty was pre-determined as part of the earlier settlement and “puts another legacy issue behind us.”
She said that, “We are satisfied with the Texas State Securities regulator’s participation in the agreement.”