Last Updated: November 2024 (Frisco, TX)
National securities fraud lawyers at Patil Law P.C. are investigating current Northwestern Mutual Investment Services broker Raymond Brown (CRD #6170291) regarding allegations of misrepresenting variable life insurance policies and their liquidity features.
The investigation follows a recently settled customer complaint involving significant misrepresentations in the sale of variable life insurance products, raising concerns about Mr. Brown’s sales practices and disclosure procedures.
Critical Insights About Frisco Financial Advisor Raymond Brown
- Advisor Name: Raymond T. Brown
- CRD: 6170291
- Location: Frisco, TX
- Current Employer: Northwestern Mutual Investment Services, LLC
- Classification: Registered Representative
- Primary Location: 2591 Dallas Pkwy Ste 401, Frisco, TX 75034
- Can Raymond Brown be sued in FINRA arbitration: Yes
- Customer Disputes: One recently settled complaint for $109,752
- Current Registrations: Licensed in 7 states
- Years of Experience: Since 2014
- Professional Qualifications: Series 6, 63 licenses
- Outside Business Activities: Non-variable insurance sales with outside carriers
- Settlement History: Recent six-figure settlement regarding insurance misrepresentations
- Primary Focus: Insurance and investment products
- Additional Role: Representative of Northwestern Mutual Wealth Management Company
Details of Recent Settlement
A customer complaint settled in September 2024 involved serious allegations:
- Misrepresentation of variable life insurance policies sold in July 2023
- False statements about premium payment liquidity
- Failure to properly explain insurance product features
- Clients’ inability to afford ongoing premiums
- Settlement amount: $109,752 paid by firm
Analysis of Alleged Misconduct
The settled complaint reveals concerning practices:
- Misrepresentation of product features
- Inadequate disclosure of liquidity constraints
- Failure to assess affordability
- Questionable suitability analysis
- Potential pattern of misleading sales practices
- Insurance-focused sales approach
Regulatory Framework and Investor Protection
SEC Regulation Best Interest
Under Reg BI, Mr. Brown must:
- Provide accurate product information
- Disclose all material facts
- Assess client affordability
- Consider reasonable alternatives
- Document suitability determination
- Maintain accurate records
FINRA Rules and Their Significance
FINRA Rule 2111 requires:
- Comprehensive suitability analysis
- Documentation of recommendations
- Understanding of product features
- Client-specific considerations
- Proper disclosure practices
FINRA Rule 2210 mandates:
- Fair and balanced communications
- No misleading statements
- Accurate representation of products
- Clear disclosure of risks and limitations
- Proper explanation of features
Professional Background
Mr. Brown’s career history shows:
- Relatively brief industry experience (since 2014)
- Limited securities licenses
- Focus on insurance products
- Consistent employment with Northwestern Mutual
- Multiple insurance company affiliations
Red Flags for Investors
- Recent significant settlement
- Limited securities qualifications
- Focus on insurance sales
- Multiple insurance company relationships
- Misrepresentation allegations
- Liquidity disclosure issues
- Affordability concerns
- Limited industry experience
Implications for Current and Former Clients
Current and former clients should:
- Review all insurance policies
- Verify premium affordability
- Examine policy features
- Document all communications
- Assess liquidity needs
- Understand surrender charges
- Review illustration materials
- Evaluate ongoing costs
- Consider independent policy review
- Understand their rights regarding misrepresentation
Patil Law P.C. Will Help You Recover Your Investment Losses
If you have purchased variable life insurance from Mr. Brown or have concerns about insurance product representations, please contact Attorney Patil online or call (800) 950-6553 for a free initial consultation. Our securities fraud attorneys work on a contingency fee basis, meaning we only get paid if we help you recover money.
