Can I recover losses from investments with former NYLIFE Securities LLC broker Ronald Bailey (CRD# 6270312)? He has been registered with Mutual Of America Life Insurance Company in Anchorage, Alaska from March to April 2020. Previously, he was registered NYLife Securities LLC in Anchorage, Alaska from 2014 to 2019. He was registered with Mutual Of America Life Insurance Company in Anchorage, Alaska, from March to April 2022. Previously, he was registered with NYLIFE Securities LLC in Anchorage, Alaska, from 2014 to 2019, when he was terminated regarding “Mr.=-Bailey was permitted to resign after he violated Company policy, which prohibits agents from participating in outside business activities without prior approval.”
In September 2022, FINRA suspended him for a year and sanctioned him to pay a $15,000 civil and administrative penalty and fine related to findings that he participated in an undisclosed private securities transaction with membership interests in a seafood processing company. According to FINRA, “Bailey distributed the LLC’s financial projections and other marketing materials to the potential investors and arranged investor meetings for the potential investors with the seafood processing company’s and the LLC’s management. Bailey solicited a customer at his member firm to invest $588,000 in an LLC membership interest in the seafood processing company and was given a 0.5 percent membership interest in the LLC as compensation for the successful solicitation.” The findings stated that he did not receive written approval from his firm to participate in this private securities transaction, and he did not indicate his involvement in the annual compliance interview. FINRA found that he engaged in undisclosed and unapproved outside business activities (OBAs).
Furthermore, “Bailey and two partners registered the company’s name and marketed the company to the public. Bailey submitted an OBA approval request too the firm to own and operate the company, but the firm denied the request. Despite the firm’s denial, Bailey continued his business activities with the company… The communications also did not disclose the risks of the investment, including the general risks associated with private placements that they are speculative in nature, illiquid, and the possibility of the entire loss of the investment.”
Ronald Bailey Customer Complaints
He has been the subject of four customer complaints in 2022, according to his CRD report:
December 2020. “Plaintiff alleges that in or about December 2017, after he declined to purchase New York Life investments, the RR promised a 10% dividend on an investment in a seafood company. The Plaintiff further alleged that the company became insolvent and he lost his initial investment. Plaintiff requests actual damages, attorney’s fees and treble damages.” The customer is seeking $588,000 in damages, and the case is currently pending. The case was regarding LLC member interests.
September 2020. “The customer alleged that the cash surrender feature of a variable universal life insurance policy issued on or about November 26, 2018 had been misrepresented.” The case was settled for $36,919. The case was regarding insurance losses.
February 2020. “The customer alleged that several products recommended by the RR had been misrepresented. These products include two variable universal life insurance products issued on or about June 21, 2016 and four variable annuities issued on or about June 22, 2016, June 23, 2016, and July 24, 2017, and June 6, 2018.” The case was settled for $21,531.05. The case was regarding variable annuities and insurance losses.
February 2020. “The customer alleged that several products recommended by the RR had been misrepresented. These products include two variable universal life insurance products issued on or about June 21, 2016 and four variable annuities issued on or about June 22, 2016, June 23, 2016, and July 24, 2017, and June 6, 2018.” The case was settled for $6,365.50. The case was regarding variable annuities and insurance losses.
Pursuant to FINRA Rules, member firms are responsible for supervising a broker’s activities during the time the broker is registered with the firm. Therefore, NYLIFE Securities LLC may be liable for investment or other losses suffered by Ronald Bailey’s customers.
Erez Law represents investors in the United States for claims against brokers and brokerage firms for wrongdoing. If you have experienced investment losses, please call us at 888-840-1571 or complete our contact form for a free consultation. Erez Law is a nationally recognized law firm representing individuals, trusts, corporations and institutions in claims against brokerage firms, banks and insurance companies on a contingency fee basis.
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