April 15, 2009
Florence Harmon
Deputy Secretary, Securities and Exchange Commission 100 F Street, NE Washington, DC 20549
Florence Harmon:
As a 35 year insurance and financial advisor who has never had a complaint filed against him, I am strongly opposed to unethical practices and feel they should be called out and exposed. However, the FINRA's proposals to revise Forms U4 and U5 are improper and illogical, to say the least.
I am, of course, talking about the proposal to include in U4 and U5 Forms allegations contained in the body of an arbitration claim or lawsuit in which the advisor (me in this case) is not specifically named as a party to the lawsuit or claim. I strenuously oppose the "guilty although not charged or convicted" standard.
I request you not approve that part of FINRA's proposal that would require the reporting of allegations of sales practice violations made against a registered person that are contained in the body of an arbitration claim or lawsuit in which that person is not named as a party.
Thank you for considering my comments.
Very sincerely,
James A White, CLU, ChFC