Talk:World Financial Group/Archives/2015

Longchamps and Dy

On October 22, 2008, The Mutual Funds Dealers Assocation of Canada (MFDA) published a disciplinary hearing pursuant to sections 20 and 24 of by-law NO. 1 of The Mutual Funds Dealers Assocation of Canada, against Michele Longchamps and Jeffrey Longchamps. The MFDA alleges that between October 2004 and June 2007, Michele, who was registered in Ontario as a mutual fund salesperson with WFG from December 1999 until April 2007, failed to deal fairly, honestly and in good faith with 22 clients by soliciting and accepting from them the total amount of $1,524,956.59 to invest on their behalf and failing to repay or otherwise account for all but $55,444.87 of the monies, contrary to MFDA Rule 2.1.1. The MFDA alleged that Jeffery(who was registered in Ontario as a mutual fund salesperson with WFG, working in the same branch as Michele from March 2005 until April 2007) between March 2005 and April 2007, had and continued in a dual occupation without obtaining the approval of the Member, WFG Securities Canada Inc. (“WFG”), contrary to MFDA Rule 1.2.1(d). The Hearing Panel has the power to impose any one or more of the following penalties:a reprimand,a fine not exceeding the greater of:$5,000,000.00 per offence; and an amount equal to three times the profit obtained or loss avoided by such person as a result of committing the violation.

On October 21, 2008, The Mutual Funds Dealers Assocation of Canada (MFDA) published a disciplinary hearing against Purisima Dy (who was registered with WFG between July 1999 and December 2006) for fraudualnt and dishonest activity. Purisima Dy was convicted of "tax evasion" in 1995 while working for PSFL, fined a combined total of $148,500, and served a 60 days sentence for falsifying income tax return from 1988 to 1992. After being terminated in February 1999 from PSFL, WFG hired Dy just five months later. Furthermore, during the 2006 tax season, Dy (who was still a WFG associate at this point) "prepared fraudulent tax returns for 1,190 tax clients that included 1,393 false donation receipts totaling $3,791,338, thereby defrauding the Government of Canada tax revenues of $1,065,922.32.

Discussion

This material seems rather tangential. The Longchamps appear to have been acting without the authorization or knowledge of the WFG. Undoubtedly, many companies have employees who have broken laws. But I don't see any indication that WFG was held liable for the Longchamps' activities. Likewise for Dy. We should limit this article to things that WFG did, or that people say about WFG, but they aren't responsible for everything done by their employees or brokers.   Will Beback  talk  21:00, 7 May 2009 (UTC) for their own benefit.

Questionable references removal

This diff should probably be reverted. What's wrong with the source ? It is the subject's own website, so it may be biased, but unlike other things, providers are not a hotly debated information. Cheers Nicolas1981 (talk) 11:59, 17 May 2009 (UTC)

• I agree in principle. I haven't checked he links myself, but the company is an adequate source for non-contentious assertions, such as where they have operations, etc.   Will Beback  talk  19:35, 18 May 2009 (UTC)

Question

Are all of the compliance lawsuits against other, similar, finance industry companies published to Wiki? Merrill Lynch, Edward Jones, Charles Schwab, etc.? If so, fine. If not, and unless a specifically cited case _clearly_ ties to a larger issue, this has no place here. Cprael (talk) 18:08, 9 March 2015 (UTC)

WMA vs WFG, round 3?

• Then there are the sales techniques. Securities regulators in Missouri, Utah and elsewhere have accused World Financial's salespeople and those of at least two dozen other firms of misrepresenting investment returns and making unsuitable sales of variable annuities. The alleged misdeeds occurred on Aegon's watch or under that of World Marketing Alliance Inc., a company Aegon renamed after buying it in 2001 for an undisclosed sum from a rail conductor-turned-sales whiz named S. Hubert Humphrey Jr. [1]

There seems to be an ongoing dispute over the connection between WMA and WFG. Bloomberg is a reliable source for reporting about businesses, and it clearly decribes WMA as the predecessor to WFG. If there are other views we can include those too, but well-sourced material shouldn't be deleted just because we "know" that they're wrong.   Will Beback  talk  23:42, 13 July 2010 (UTC)

Yup, same as usual: we say what reliable sources say. In addition, the formerly independent WMA article was merged into this one specifically based on that sort of corporate lineage/interrelationship, so that info needs to be retained here as a result of that redirect/merge decision. DMacks (talk) 06:45, 16 July 2010 (UTC)

Using WMA's performance, good or bad, to cast a shadow in WFG is a non-starter. That's like saying Ford Motor Company is still a negligent company because once upon a time they built a car called a Pinto that blew up on people. Ergo, Ford is still a bad company today. Nonesense. Companies go through times of turmoil and bad press, but to drudge up the past even after reparations have been doled out says the contributor has some forgiveness issues.

This borders on lunacy and personal vengeance, not to bring up WMA's past, but to project it on a more compliance-oriented, better-organized marketing firm. Yes, the issues surrounding WMA belong to WMA. Yes, WMA was bought out and rebuilt into WFG. But, NO, WMA is not WFG. And to further the discussion in that grain points to a personal axe to grind. Talk about this article being biased, it is evidently put up as a target for the competition or former agents. Saureco (talk) 18:15, 23 March 2011 (UTC)

This article should include information about the present and past activities of the subject. We mention the Pinto in the History of Ford Motor Company, and have a lengthy section about the fuel tank problems in Ford Pinto. As an encyclopedia, we're not just here to give a snapshot of current operations.   Will Beback  talk  18:44, 23 March 2011 (UTC)

That's right. You have a lengthy section about the fuel tank problems in Ford Pinto, not in History of Ford Motor Company. If you want to go into detail on WMA's failings (which, note, it continued as a separate and independent company for several years after the WFG split), then you should do so on a separate WMA page, NOT on a merged WFG page.Cprael (talk) 18:11, 9 March 2015 (UTC)

Merge

I proposed merging World Group Securities to this article. They seem to be closely connected affiliates, and there is substantial overlap between the articles.   Will Beback  talk  05:53, 30 March 2011 (UTC)

Seeing no objection, I guess I'll do the merge, unless anyone else would like to do it first. (Please?)   Will Beback  talk  10:12, 8 June 2011 (UTC)

Well, since I only just saw this... it's not a valid merger. World Group Securities was merged to Transamerica Financial Associates, not WFG. So... guess this needs cleaning up. Cprael (talk) 18:13, 9 March 2015 (UTC)