Defendant Name:
VALIC Financial Advisors, Inc.
Defendant Type:
Subsidiary of Public Company
Public Company Parent:
American International Group, Inc.
SIC Code:
6399
CUSIP:
02687478
Document Reference:
34-89405
Document Details
Legal Case Name
In the Matter of VALIC Financial Advisors, Inc.
Document Name
Order Instituting Administrative and Cease-and-Desist Proceedings, Pursuant to Sections 15(b) of the Securities Exchange Act of 1934 and 203(e) and 203(k) of the Investment Advisers Act of 1940, Making Findings, and Imposing Remedial Sanctions and a Cease-and-Desist Order
Document Date
28-Jul-2020
Document Format
Administrative Proceeding
Allegation Type
Investment Advisers/Investment Companies
Document Summary
On July 28, 2020, the SEC instituted settled cease-and-desist proceedings against VALIC Financial Advisors, Inc. The SEC stated: "From October 2006 to late 2019, VFA failed to disclose to certain Florida teachers who were potential and actual clients that VFA's parent, The Variable Annuity Life Insurance Company, doing business under the AIG Retirement Services, Inc. brand ("VALIC"), was providing cash and other financial benefits to a for-profit company owned by Florida K-12 teachers' unions. That company (the "Teachers Union Entity") received cash and other financial benefits in exchange for referring teachers to VALIC's and VFA's products and services."
Disgorgement & Penalty Information
Resolutions
Cease and Desist Order
Censured
Various undertakings: capped management fee, notifying participants of settlement terms
Cooperation Before the Resolution
Remedial Acts or Efforts Before the Resolution
Monetary Penalties:
Civil Penalty
Individual:
$20,000,000.00
Shared:
