The Financial Industry Regulatory Authority (“FINRA”) has banned Louis Cook, who was a Staten Island, New York-based representative for National Planning Corporation and Securities Service Network. FINRA found that Cook induced elderly customers and parents of disabled children to sign third-party authorization forms through intentional misrepresentations, violating FINRA Rules 2010 and 2150(a).
According to FINRA’s findings, from August to December 2016, Cook sent letters to at least 11 of these customers requesting their signatures for Third Party Authorization Forms giving Cook the power to make changes and/or withdraw funds from their variable annuity policies.
In the letters, Cook claimed that the Department of Labor’s “Fiduciary Rule” required him to ask for Third Party Authorization Forms from the customers. Without them, he claimed he could not continue to handle their variable annuity policies. FINRA found these were intentional misrepresentations and that Cook’s customers signed the forms based on Cook’s fraud.
FINRA found that Cook was aware his customers did not intend to allow him to withdraw funds from the variable annuities for his personal use, yet Cook improperly used the funds and withdrew over $150,000 from the accounts and deposited the funds in his own personal bank account.
Due to this misconduct, Cook was barred from association with FINRA and its members in all capacities for the intentional misrepresentations and improper use of customer funds.
If you or someone you know lost money as a customer of Louis Cook, National Planning Corporation, or Securities Service Network, call the Frankowski Firm at 888.741.7503 or fill out this contact form.