Philip Norris Smith of Woodland Hills, California, a stockbroker registered with Equitable Advisors LLC, is the subject of a customer initiated investment related complaint on September 20, 2022 in which the customer requested compensatory damages based upon allegations that Smith made misrepresentations relating to the recommendation and sale of variable annuities when Smith was associated with Equitable Advisors LLC.
Financial Industry Regulatory Authority (FINRA) Public Disclosure shows that Smith is referenced in other customer initiated investment related disputes concerning Smith’s conduct while associated with securities broker dealers, including AXA Advisors LLC. On May 26, 2015, a customer filed an investment related complaint involving Smith’s conduct in which the customer requested compensatory damages based upon allegations that Smith committed sales practice violations with regard to the recommendation and sale of variable annuities when Smith was associated with AXA Advisors LLC.
FINRA Public Disclosure shows that Smith has been fined $5,000.00 and suspended from associating with any FINRA member in any capacity for three months based upon allegations that Smith made unsuitable recommendations. Case No. 2019064218701 (May 31, 2022).
According to the AWC, in or around April 2018, during the time that he was associated with Equitable Advisors LLC, Smith recommended that a customer buy a deferred variable annuity and make withdraws from an indexed annuity to fund the purchase, which caused serious tax implications for the customer. Smith’s recommendations were unsuitable due to Smith’s failure to consider the customer’s tax status and the tax implications of the transaction.
According to the AWC, Smith knew of the potential for tax liabilities resulting from the purchase but failed to research other ways to purchase the annuity without the negative tax implications. Smith mistakenly believed that having the checks issued from the withdrawals endorsed as payable to Equitable Advisors would avoid any negative tax consequences. However, this was not the case, and the customer incurred significant tax liability from the withdrawal and transaction. As a result, Smith violated FINRA Rules 2010 and 2111.
On April 4, 2019, another customer filed an investment related complaint involving Smith’s conduct in which the customer requested $28,000.00 in damages based upon allegations that Smith made unauthorized transactions in connection with the recommendation and sale of insurance products when Smith was associated with AXA Advisors LLC.
Smith is also referenced in a customer initiated investment related FINRA securities arbitration claim in which the customer requested compensatory damages based upon allegations that Smith made unsuitable recommendations concerning the sale of variable annuities when Smith was associated with Equitable Advisors LLC. FINRA Arbitration No. 20-03050 (Sept. 10, 2020).
On July 14, 2021, another customer filed an investment related complaint involving Smith’s conduct in which the customer requested compensatory damages based upon allegations that Smith committed sales practice violations with regard to the recommendation and sale of insurance products when Smith was associated with AXA Advisors LLC.
Equitable Advisors LLC discharged Smith based upon allegations that Smith made misrepresentations.
Philip Smith was also associated with OneAmerica Securities Inc. in Newport Beach, CA, as a stockbroker from February 18, 2022 to June 20, 2022. OneAmerica Securities Inc. terminated Smith’s registration based upon allegations that Smith was sanctioned by FINRA.
