FINRA Bars Broker for Forging Customer Signatures on VA Policy Documents
The Financial Industry Regulatory Authority has barred Cristina Sabengsy, formerly with NYLIFE Securities LLC, for allegedly forging customer signatures to facilitate unauthorized insurance transactions and obtain commissions on those transactions.
The Financial Industry Regulatory Authority has barred Cristina Sabengsy, formerly with NYLIFE Securities LLC, for allegedly forging customer signatures on insurance and variable annuity policy documents to obtain commissions on those transactions.
According to a letter of acceptance, waiver and consent issued by FINRA, Sabengsy allegedly forged the signatures of three of her insurance customers on 14 insurance and variable annuity policy documents without permission.
In one example, FINRA claims that Sabengsy opened a variable annuity policy for one customer without authorization and converted another customer’s term life insurance policy to a whole life policy without authorization and consent.
Sabengsy also forged customers’ signatures on at least 10 other documents while associated with NYLIFE Securities. Although in these instances the underlying transactions were authorized, the customers did not authorize her to sign their names on the documents. FINRA claims that Sabengsy forged the customers’ signatures “in order to advance the receipt of commissions.”
FINRA claims that her actions violated Rule 2010, which requires registered representatives to “observe high standards of commercial honor and just and equitable principles of trade” in the conduct of their business.
According to her BrokerCheck profile, Sabengsy spent two years with NYLIFE Securities but was permitted to resign “after a review of her sales activities identified possible non-genuine customer signatures on forms related to the purchase of insurance policies.”
Sabengsy accepted the bar by FINRA, without admitting or denying the findings.
