Chad Mackland of Council Bluff, Iowa, a stockbroker formerly registered with Lion Street Financial and MML Investors Services, has been barred by Securities and Exchange Commission (SEC) from being a stockbroker or an investment adviser representative supported by findings of Mackland pleading guilty to a charge of Ongoing Criminal Conduct. Order Instituting Administrative Proceedings File No. 3-20617 (September 30, 2021).
According to the Order, SEC barred Mackland because of an Iowa enforcement action against Mackland relating to his insurance practices. SEC notes that a final order had been entered against Mackland by Iowa Insurance Commissioner, barring Mackland from being a stockbroker, investment adviser representative, insurance representative, and investment adviser representative.
Mackland was charged by Iowa Insurance Commissioner with felony insurance business practices. One of those charges included Ongoing Criminal Conduct, including theft by deception or fraudulent sales practices between August 2017 and August 2020. Mackland pleaded guilty. On April 14, 2020, Mackland’s conduct was the subject of a FINRA Arbitration claim against Northwestern Mutual alleging that beginning in or around 2011 (which was before the rep joined the Firm), and continuing while the rep was with the Firm, the rep churned the complainant’s accounts, recommended unsuitable transactions, made fraudulent representations, communications and transactions, and breached fiduciary duties. The Customers sought damages of $2,871,000.00. The matter was settled for $1,200,000.00, according to FINRA Public Disclosure.
Mackland has also been barred from associating with any Financial Industry Regulatory Authority (FINRA) member in any capacity based upon findings that Mackland refused to comply with FINRA during an investigation into accusations of his felony charges. Letter of Acceptance, Waiver, and Consent No. 2020065534801 (March 23, 2021). Mackland was accused of fraudulent sales practices that FINRA could not further investigate because of Mackland’s refusal to cooperate. Mackland violated FINRA Rules 2010 and 8210.
