SEC Censures United Global Securities for Annuity Switching

The SEC issued a cease-and-desist order against United Global Securities, Inc. and Richard D. Blair, finding that they engaged in the improper switching of variable annuities by convincing 17 customers to surrender variable annuities and repurchase new variable annuities twice within an 18 month period beginning in late 2004. Additionally, the Order finds that Blair caused United Global to maintain inaccurate books and records and operate with a net capital deficiency in January and February 2007.