The SEC and New York Attorney General agreed to settle charges of misleading clients about conflicts of interest and lack of disclosures. $97 million.....Now, I ask, who agrees to pay $97 million for anything they didn't do? It sounds like everything in those NYT articles was true....and then some. Just awful. What a bunch of mediocre crooks.
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This was a truly toxic environment in the mid-2010s. Kathie Andrade and Christopher Weyrauch pushed unrealistic sales goals while hiding behind TIAA's wholesome non-profit reputation. Empty shirt office managers like Annie Gottbehuet and Courtney Eastlack carried out these orders by bullying and threatening their staff (and, in the case of Eastlack, creating a mini-race war in his office by way of his racist demeanor and reputation).
A sad reality. It's true Christopher Weyrauch acted without integrity while at TIAA.
He applied relentless pressure beyond ethical boundaries to employees and clients. Chris bullied and terminated anyone who interfered with his personal promotion agenda or unscrupulous sales tactics.
Weird how some of the FIDO people who came in to TIAA in the 2010s who perpetuated the whale hunting, and were still introducing such language after the suit, to a company that used to have integrity are still there!!! Disgusting the levels TIAA is sinking too (including what looks like some self-dealing to save their General Account aka TIAA Traditional that someone should look into). Crusty hanger-ons would never afford their beach houses in MA if they hadn’t bamboozled their way to top. Like Harvard said these user crooks couldn’t sell their way out of a paper-bag, but TIAA still lining their pockets. Weird. Might be those DC connections.
Yep...he is heading up Citizens Wealth. Just another company with a past of illegal/internal issues. Issues that have never seen the light of day. Ie...Millard
From the SEC Order:
"In 2014, an internal compliance report raised concerns that the incentive compensation structure was significantly affecting WMAs’ behavior, causing them to focus on recommending managed solutions because they paid the most compensation. The report noted that as a result, “it is not possible to claim that the agents are ‘product neutral.’” Respondent did not take any steps to address the findings in this compliance report at the time."
Wow. It doesn't get more duplicitous than that. Their own internal reports told them the problem in 2014....and "the world's most ethical company" did nothing.
Good to see Christopher Weyrauch (who pushed these sales practices) moved on unscathed, and is now heading another wealth management group!
Yep! It's sad and embarrassing....