Fixed and Variable Annuity Fraud, Misrepresentation and Mismanagement FINRA Arbitration and Litigation Attorney, Russell L. Forkey, Esq.

November, 2011:

Jason Pedigo (CRD #4952772, Registered Representative, Little Rock, Arkansas) submitted a Letter of Acceptance, Waiver and Consent in which he was barred from association with any FINRA member in any capacity. Without admitting or denying the findings, Pedigo consented to the described sanction and to the entry of findings that he submitted a fixed annuity contract for his customer with an insurance company; the insurance company issued the annuity contract and sent it to Pedigo in accordance with its selling agreement. The findings stated that the insurance company never received the customer’s executed annuity contract confirmation (ACC); as a result, it mailed letters to Pedigo numerous times requesting that he have the customer sign and return the ACC. The findings also stated that Pedigo informed the insurance company that the customer was deceased and requested paperwork to submit a death claim; according to the insurance company, it never received the death claim paperwork. The findings also included that after receiving a surrender request form that same day, the insurance company contacted Pedigo to inform him that a full surrender could not be processed because the customer was deceased. FINRA found that over a year after the customer had passed, Pedigo falsely informed the insurance company that the customer was still alive; Pedigo faxed the insurance company an ACC which the customer purportedly signed and dated almost 20 days after the customer had died. (FINRA Case #2010025512501).