Soreide Law Group obtained the following information from FINRA’s February 2017 Disciplinary Report:
Daryl Eugene Allison (CRD #3686, Lubbock, Texas)
was fined $10,000 and barred by FINRA for allegedly failing to supervise two registered representatives’ offers and sales of closed-end mutual funds to clients by ignoring or failing to detect numerous red flags indicating that the closed-end mutual fund transactions were possibly unsuitable for the clients.
FINRA’s findings stated that Allison allegedly failed to enforce the firm’s WSPs regarding the review of exception reports to detect problematic trading activity in client accounts.
Also, FINRA’s findings stated that Allison allegedly failed to conduct and/or to adequately document inspections of the firm’s branch offices. Allison routinely inspected one of the firm’s three branch offices, but allegedly failed to adequately document the inspections. Allison’s inspection reports were mere checklists that did not contain any information regarding testing and verification of the firm’s policies and procedures, and did not address all of the required areas, such as the validation of changes in client account information and client address changes. In addition to preparing inadequate inspection reports, allegedly Daryl Eugene Allison completely failed to conduct inspections of two non-OSJ branch offices during the more than three-year time period.
FINRA’s findings also included that Daryl Eugene Allison, acting on the firm’s behalf, allegedly failed to establish and implement an adequate supervisory system for the capture, review and/or retention of all of the firm’s email correspondence. Allegedly, Allison failed to ensure that the firm maintained records to evidence supervisory reviews of email correspondence, and failed to ensure that the email correspondence of registered representatives located in one of the firm’s branch offices was captured, reviewed and retained. Allison allegedly failed to ensure that client account and transaction records accurately reflected the registered representative of record.
(FINRA Case #2014039096601)
FINRA has permanently barred Daryl Eugene Allison from engaging in principal & supervisory activities. Allison has 47 years of experience in the securities industry and was listed with 4 firms. He has been registered with this firm since 5/12/2015:
LOWELL & COMPANY, INC.
4601 50th ST Suite 202
Lubbock, TX 79414
He was previously listed with the following firm:
06/24/1980 - 11/10/2015 CAPROCK SECURITIES, INC. - LUBBOCK, TX
If you were a client of Daryl Eugene Allison formerly of Caprock Securities of Lubbock, TX, and experienced losses due to his actions or recommendations, call Soreide Law Group for a no-cost consultation regarding the possible recovery of your financial losses at: 888-760-6552.
Soreide Law Group represents clients nationwide before FINRA and we operate on a contingency fee basis.
