NYLife Sued For Selling Away Alternative Investments
Joel Vincent Flaningan of Fort Wayne Indiana a stockbroker formerly employed by NYLife Securities LLC is the subject of a customer initiated investment related civil action brought in the Superior Court of Indiana in which the customer requested $29,000.00 in damages based upon accusations that (1) unfounded statements had been made by the stockbroker concerning a promissory note issued by 1 Global Capital LLC and (2) the customer incurred investment losses after agreeing to purchase the unregistered security through Flaningan when the stockbroker was associated with NYLife Securities. Civil Action No. 02D01-1909-PL-000324 (Sept. 10, 2019).
Financial Industry Regulatory Authority (FINRA) Public Disclosure confirms that Flaningan is referenced in three more customer initiated investment related disputes which pertain to allegations of his violative conduct during the period in which he was associated with NYLife Securities. Specifically, a customer filed an investment related civil action involving Flaningan’s conduct in the Superior Court of Indiana which was settled for $37,500.00 in damages supported by accusations of false or misleading statements specifically concerning the risks pertaining to Woodbridge Mortgage Investment Fund – an unregistered investments sold to the customer in April of 2017 which caused the customer to experience losses. Civil Action No. 02D01-1804-PL-000120 (Feb. 28, 2019).
On September 13, 2019, a customer initiated investment related complaint involving Flaningan’s activities was resolved for $29,700.00 in damages founded on allegations that in 2017, the customer had been placed into American Alternative Investments securities which were in no way suitable for the customer given the customer’s objectives for investing, tolerance for risk or investment objectives; and the unregistered securities had been sold by Flaningan outside the auspices of NYLife Securities LLC.
Flaningan is referenced in another customer initiated investment related arbitration claim which was settled for $85,000.00 in damages based upon accusations that the customer had been placed into Woodbridge promissory notes – securities which were neither registered nor exempt from registration; the customer was sold FIP, LLC investments which were not suitable given the customer’s tolerance for risk; and there was no point in which Flaningan fully disclosed the risks of the investments at the time that the customer agreed to the transactions. FINRA Arbitration No. 19-00092 (Sept. 20, 2019).
FINRA Public Disclosure additionally reveals that Flaningan has been barred from associating with any FINRA member in any capacity supported by allegations that he failed to comply with a request that the regulator made for information about his business activities. Case No. 2018058657701 (Mar. 4, 2019).
According to FINRA Public Disclosure, Flaningan was contacted by FINRA in November of 2018 – approximately six months after he was terminated by NYLife Securities LLC. In fact, Flaningan was discharged by the securities broker dealer founded on accusations that (1) customers had been solicited by him for investments in Woodbridge Mortgage Investment Fund prior to a bankruptcy filing being made by the supposed real estate investment fund and (2) Flaningan failed to disclose his recommendation, facilitation or sales of promissory notes relating to Woodbridge Mortgage Investment Fund.
Flaningan was asked by FINRA to provide information possibly relating to his discharge from NYLife Securities LLC. He failed to respond to FINRA’s request resulting in him being issued a Suspension from Association letter on December 4, 2018. At that time, Flaningan was warned that his future non-compliance with FINRA requirements could lead to him being barred from the securities industry. Flaningan failed to comply by the March 3, 2019 deadline.
Flaningan was employed by NYLife between December 21, 2010 and May 10, 2018.