Woodbury Financial Services Investigation
February 2022
The FINRA records of Woodbury Financial Services, disclose 22 final regulatory events, 8 prior customer disputes, and a bond payout for two brokers who engaged in fraudulent activity.
The Financial Industry Regulatory Authority (FINRA) is the agency that licenses and regulates stockbrokers and brokerage firms. FINRA requires brokers and brokerage firms to report customer complaints and disputes as well as regulatory sanctions. In addition brokers are required to disclose certain financial matters such as personal bankruptcies, judgments and liens.
Woodbury Financial was fined and ordered to pay disgorgement and restitution of more than $1.2 million by regulators, over $2,3 million in awards and fines.
Regulatory issues include:
- 1/3/20-Fined $4,500 by New York regulators to resolve allegations that brokers provided incorrect and untrue information on brokers life insurance license applications.
- 5/2019- Fined $225,000 by FINRA to resolve allegations relating to unsuitable recommendations of annuities.
- 3/2019-Fines/disgorgement of over $1 million assessed by Securities & Exchange Commission to resolve allegations that Woodbury made inadequate disclosures to customers purchasing mutual funds.
- 7/2018-Fined $250,000 by FINRA to resolve suitability allegations related to sales of L Share contracts combined with a long term income rider wo a customer with a long term investment time horizon.
In 2013 Woodbury’s bonding company paid $466,253 to cover losses caused by two Woodbury brokers who stole customer funds by changing the customer account addresses to post office boxes in contravention of Woodbury compliance rules. The funds were intended of fund insurance policy premiums and money market funds.
Woodbury Financial Services
Woodbury Financial Services was founded in 1968 and has one of the largest networks of independent wealth management. Woodbury Financial Services is affiliated with financial and investment institutions and has referral or financial arrangements with other registered brokers or dealers. They are a member of FINRA and a Registered Investment Advisor with their main office in Oakdale, MN. They have offices in more than 800 locations, employing over 2,2oo brokers nationwide.
Woodbury has offices in several Texas cities, including: Austin, Corpus Christi, Dallas, Houston, League City, Longview and McKinney.
If you have questions about an account with Woodbury Financial Services call for a no charge consultation to discuss your options.
Rex Securities Law , with offices in Boca Raton, FL, and Austin, TX, provides representation to investors nationwide who are seeking recovery of investment losses due to the negligence or fraud of stockbrokers and broker dealers. If you have questions about how your account has been handled, call to speak with an experienced securities attorney.
Most cases handled on a contingent fee basis meaning that you do not pay legal fees unless we are successful.
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