What Investors Need to Know About Regulatory Actions and Customer Complaints Involving Voya Financial Advisors
Voya Financial Advisors (CRD#: 2882/SEC#: 801-46585,8-13987) is a brokerage firm and investment advisory firm regulated by FINRA and the SEC. Based in Des Moines, Iowa, Voya Financial Advisors is licensed to operate in 53 U.S. states and American territories.
According to FINRA, the firm has 41 total disclosures on its record, including 32 regulatory events and 9 arbitration awards.
At Sonn Law Group, our securities fraud attorneys are currently investigating complaints against Voya Financial Advisors.
Here, you will find an overview of some recent customer complaints and regulatory sanctions. In addition, we offer a running list of news stories and other events involving brokers and financial advisors at this firm.
Do you have a complaint about Voya Financial Advisors? We want to hear it.
Browse Voya Financial Advisors Financial Complaint and Regulatory Action News
- Alexander James, Formerly of Voya Financial, Suspended for One Year Over Alleged Unapproved Outside Business Activity (4/7/2020)
- James T. Flynn, Formerly of Voya Financial, Has Received Over 45 Customer Complaints Since 2018 (3/12/2020)
- Ashley Woodard, Formerly of Voya Financial Advisors, Named in Multiple Customer Complaints Regarding Illiquid Securities (12/6/2019)
- Brokerage Firm Review: Voya Financial Advisors (6/11/2019)
- Former Voya Financial Advisor Robert Witt Barred by FINRA for Unauthorized Trading (5/21/2019)
- Broker Alert: Suresh Basnet Suspended for Unauthorized Transactions (3/29/2019)
Voya Financial: Notable Investor Complaints and Regulatory Sanctions
Failure to Protect Customer Information
In September of 2018, the SEC imposed sanctions on Voya Financial Advisors for its failure to adequately protect sensitive investor information. In violation of federal securities regulations, the brokerage firm failed to create a proper system to safeguard its customers from identity theft. Indeed, the usernames and passwords of more than 5,600 customers were exposed to fraudsters. Without admitting or denying any wrongdoing, Voya Financial was censured and fined $1,000,000.
Failure to Supervise Securities Representatives
In March of 2019, the Connecticut Securities and Business Investments Division took action against Voya Financial Advisors for its failure to supervise one of its representatives. Specifically, Connecticut alleged that an agent of Voya Financial misled investors. In total, the firm paid $915,000 in restitution to affected investors and a $100,000 civil fine.
Violation of Federal Securities Law
In March of 2017, the SEC brought a complaint against Voya Financial Advisors for alleged violations of federal securities law. Among other things, regulators contend that the broker-dealer failed to disclose material conflicts of interest to its clients.
Specifically, Voya Financial was receiving undisclosed commissions from a third-party broker for making certain recommendations. Without admitting to or denying wrongdoing, the brokerage firm was censured, fined $300,000, and agreed to pay more than $2.6 million in disgorgement.
Unsuitable Investment Recommendations
In November of 2016, FINRA filed a complaint against Voya Financial Advisors for making unsuitable investment recommendations to customers. Regulators alleged that representatives of the brokerage firm encouraged investors to buy long-term variable annuities (VAs) and then surrender them early, subjecting customers to unnecessary fees.
This investment guidance was unsuitable and the brokerage firm had no supervisory system in place to identify this problem. Without admitting to the allegations, Voya Financial Advisors consented to a $2.75 million fine and agreed to create a plan that called for payments of nearly $1.8 million in financial restitution to investors.
At Sonn Law Group, our securities fraud lawyers have advocated for the rights and interests of investors throughout the United States for more than three decades. If you lost money working with Voya Financial or any Voya Financial securities representative, we are here to help. To set up a free, fully confidential, please do not hesitate to call us today at 866-827-3202.