Lucas Mandon King
Background Of Lucas Mandon King (CRD No. 6424176)
Lucas Mandon King registered through State Farm VP Management Corp. as an Investment Company ProductsNariable Contracts Representative in August 2015. Throughout Lucas Mandon King’s tenure with State Farm, he also was an agent of the firm’s affiliate, State Farm Mutual Automobile Insurance Company (SFMAIC). King’s registration was terminated in June 2020. Although Lucas Mandon King is not currently associated with a member firm, F1NRA retains jurisdiction over him under Article V, Section 4(a) of FINRA’s By-Laws. King does not have any relevant disciplinary history.
Activity(s) Reported – Lucas Mandon King
This matter originated in June 2020, when State Farm filed a Form 4530 with FINRA disclosing that Lucas Mandon King had been suspended due to concerns over his handling of funds in his premium fund account.
FINRA Rule 2010 requires all associated persons to observe high standards of commercial honor and just and equitable principles of trade. Conversion is an intentional and unauthorized taking of and/or exercise of ownership over property by one who neither owns the property nor is entitled to possess it. Conversion violates FINRA Rule 2010 even if the conversion occurs outside the scope of a registered representative’s employment with a FINRA member because it constitutes unethical business-related conduct and calls into question the representative’s ability to fulfill his fiduciary duties in handling other people’s money.
During the time Lucas Mandon King was registered with FINRA through the firm, he also was appointed a State Farm Insurance Agent and sold insurance products offered by the firm’s insurance affiliate, SFMAIC. King was required by SFMAIC to maintain a premium fund account at a bank into which he was required to deposit insurance customers’ premium payments. The funds in the premium fund account, however, belonged to SFMAIC and not to King. Further, although King maintained control over the premium fund account, SFMAIC’s policies prohibited him from using the deposited funds for any purpose other than paying designated insurance premiums.
Beginning on October 21, 2019, King failed to deposit certain premium payments into the premium fund account, totaling $7,083.97. Instead, King intentionally and without authority used those funds for his personal use and benefit to satisfy other business expenses. King only deposited the missing funds on December 30, 2019, after SFMAIC discovered that he had not deposited the premiums into the premium fund account and questioned him Additionally, King initially lied to SFMAIC, claiming that he had lost the premiums when, in fact, he had used the funds for his personal use to pay his office staff.
Therefore, King violated FINRA Rule 2010.
Can you expose the broker trying to trick you?
FINRA offers the free web tool BrokerCheck, which allows users to check a broker’s credentials, registration, and employment history. The disclosure part of BrokerCheck includes information on client conflicts, disciplinary proceedings, and specific financial and legal issues on the broker’s record.
Penalties And Sanctions
a bar from associating with any FINRA member in any capacity.
Respondent understands that if he is barred or suspended from associating with any FINRA member, he becomes subject to a statutory disqualification as that term is defined in Article III, Section 4 of FINRA’s By-Laws, incorporating Section 3(a)(39) of the Securities Exchange Act of 1934. Accordingly, he may not be associated with any FINRA member in any capacity, including clerical or ministerial functions, during the period of the bar or suspension. See FINRA Rules 8310 and 8311.
Recent Activity(s)Of The Individual/Firm
Between October 21, 2019, and December 30, 2019, while registered as an Investment Company ProductsNariable Contracts Representative through State Farm, and dually employed as an agent with the firm’s insurance affiliate, SFMAIC, King converted $7,083.97 in insurance premiums for his personal use and benefit in violation of FINRA Rule 2010.
How To Spot A Fraud Finance Advisor (Infographic)
Help For Victims Of Lucas Mandon King
If you have lost funds because of misrepresentation, unsuitable investment, or unsuitable investment strategy from Lucas Mandon King. Then you can take legal action and get justice. Fraud, Malpractice & dereliction of duty should not be taken lightly, especially in this industry. We highly suggest that you notify authorities or seek legal action if your financial advisor or brokerage firm fails to abide by FINRA’s rules are regulations.
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Financial advisors are regulatory & legally obligated to suggest (recommend) the most suitable investments/investment strategies to their clients. Their suggestions should have their client’s best interests and should be appropriate for their client’s goals and needs. Similarly, the brokerage firm which hires financial advisors also has a regulatory & legal obligation to keep a close watch and supervise their Financial Advisors’ practices & behavior. They need to make sure that the financial advisor is not being manipulative or having an unreasonable bias towards certain investments. If the financial advisor and/or the brokerage firm breaches these duties, then the client/customer may be entitled to a full or partial recovery of their losses.
Financial advisors need to have the interest of their clients when giving suggestions related to investments and investment strategies. Reasonable basis suitability requires the advisor to do their best to analyze & identify the risks and rewards associated with their suggested investment and/or investment strategy.
