Larry Peggs (CRD#: 1219721), currently a registered representative with Ameriprise Financial Services, Inc. in Seminole, Florida, is involved in a pending customer dispute regarding the dispersal of annuity death benefits. According to Peggs’ BrokerCheck report accessed on August 6, 2019, “the estate of a decedent and the decedent’s ex-wife, allege that AFSI, Peggs and several other defendants failed to carry out the decedent’s intentions regarding beneficiary designations for two annuities. The decedent’s ex-wife contends that the proceeds of the annuities should have been distributed in such a way that the proceeds could fund continuing payments to her. Plaintiffs seek relief including imposition of a constructive trust over the proceeds of the annuities, which were distributed to the decedent’s children.”
This is not the only customer dispute that has been filed against Larry Pegg.
A client alleged that Larry Pegg placed them in an unsuitable holding, causing their portfolio to lose value. While the client originally requested $20,158.22 when filing the claim on February 13, 2019, the dispute was ultimately settled for $15,000.
Larry Peggs settled a claim after a client alleged that he made unauthorized transactions. The claim was filed on May 3, 2017. According to Larry Peggs’ broker comment, “The firm’s review was unable to substantiate the allegations made by the client and his attorney. In the interest of good client relations the firm offered $38,221.04 in settlement, representing the charge incurred when the client surrendered his annuity.”
Larry Peggs’ firm denied a claim after a claimant filed a claim on June 10, 2004, alleging that the “representative said that earnings generated from this policy would be sufficient to pay the premiums on the VUL [variable universal life] policy.”
A dispute was closed with no action after a customer filed a claim on January 8, 2004, alleging that Larry Peggs “guaranteed her a death benefit on a variable universal life policy.”
Larry Peggs was subject to an NASD [National Association of Securities Dealers, the precursor to FINRA] regulatory decision on September 29, 2003. The complaint alleged that Larry Peggs “submitted sales literature for approval to his member firm’s compliance department that described variable annuities emphasizing the product’s benefits but failed to present a balanced discussion of the product and omitted material information regarding costs, risks, and restrictions. Two of the newsletters failed to identify that the product being discussed was a variable annuity and stated that there were no fees involved when, in fact, investors who purchase variable annuities generally pay fees.” He also failed to disclose that brokers who sell variable annuities receive a commission on each sale. Larry Peggs consented to the sanctions and to a fine of $10,000. It is important for investors to realize that annuities, particularly variable annuities, are complex securities products and may not be suitable for every investor, particularly given their fees (including surrender fees).
Larry Peggs settled a customer dispute for $50,000 after a customer filed a claim on June 13, 2003, alleging that he “made guarantees regarding the future value of a life insurance contract…” In his broker comment, Peggs asserts that another broker serviced this policy because he had already left the firm.
Larry Peggs voluntarily resigned from NFP Securities on October 32. 2002. In his broker comment, Larry Peggs wrote, “I was not asked or told to resign from NFP, rather I chose to voluntarily resign from NFP and Earl & Assoc after discovering that their compliance departments had approved advertising for me which allegedly was in violation of NASD rules. I resigned because I did not want to remain affiliated with either the firm or the broker/dealer under those circumstances.”
On July 18, 2002, his firm received a complaint in which a customer alleged unsuitability regarding a split annuity and sought $161,781 in damages. The firm denied the claim. According to Larry Peggs’ broker comment, the client “moved accounts to another broker.”
His firm denied the claim when a customer alleged they were not compensated for premium enhancements on a split annuity. The client also alleged misrepresentation, filing their claim on March 25, 2002. According to Larry Peggs’ broker comment, the client “took [the] accounts to another broker.”
In addition to Ameriprise Financial Services, Inc., over his 34-year career in the securities industry, Larry Peggs has worked for many other firms:
- Planmember Securities Corporation (CRD#: 11869)
- AXA Advisors, LLC (CRD#: 6627)
- Woodbury Financial Services, Inc. (CRD#: 421)
- Jefferson Pilot Securities Corporation (CRD#: 3870)
- NFP Securities, Inc. (CRD#: 42046)
- FFP Securities, Inc. (CRD#: 16337)
- Fortis Investors, Inc. (CRD#: 421)
- Integrated Resources Equity Corporation (CRD#: 6403)
- Ekistic Securities Corporation (CRD#: 17125)
- Lincoln Financial Advisors Corporation (CRD#: 3978)
If Larry Peggs was your broker or if you have questions about your investments, don’t hesitate to contact Marc Fitapelli or Jonathan Kurta, experienced securities attorneys and experts on FINRA arbitration. Call (877) 238-4175 or email email@example.com.