The Financial Industry Regulatory Authority has fined CUNA Brokerage Services $30,000 for failing to preserve recommendations regarding rollovers, violating Regulation Best Interest.
According to FINRA’s order, CUNA Brokerage Services failed to preserve information the firm collected from retail customers when making recommendations regarding rollovers of their employer-sponsored retirement plans into individual retirement accounts.
In January 2023, “CUNA Brokerage Services inadvertently deleted approximately 14,000 records that were created by the firm between June 30, 2020, and January 31, 2022 as it transitioned its business from providing services to retail customers,” the order states.
The records contained information collected from retail customers pursuant to Reg BI, specifically as part of the firm’s recommendations regarding rollovers.
