Georgia Secretary of State Press Office

Handel Announces Penalties for Ameriprise Financial Services, Inc.

Atlanta— Secretary of State Karen Handel announced a consent agreement today with Ameriprise Financial Services, Inc. that includes significant monetary consequences. The agreement is part of a continuing effort to get tough on securities brokerage firms that fail to adequately supervise their salespersons. Ameriprise has agreed to pay a civil penalty of $40,000, make a $10,000 donation to the Investor Protection Trust for investor education programs in Georgia, and pay nearly $175,000 in investigative costs.

The Office of the Secretary of State opened an investigation after receiving complaints about the business practices of several Ameriprise registered salespersons. Investigators found Ameriprise failed to discover forged customer signatures on financial documents prepared by two of the firm’s salespersons, who were later terminated. Investigators also identified other deficiencies in Ameriprise's supervisory systems.

“Securities firms in Georgia are trusted by their clients, and they must be vigilant to deserve that trust,” Secretary Handel said. “The violations we discovered here undermine that trust, and simply will not be tolerated in our state.”

In addition to the fine, Ameriprise has agreed to a two-year enhanced reporting and monitoring period. The firm has also made a number of changes in its structure and procedures designed to prevent such problems in the future.

Karen Handel was sworn in as Secretary of State in January 2007. The Secretary of State's office offers important services to our business community, our government, and our citizens. These services include ensuring an efficient and secure election process, and the regulation of securities and professional license holders. The Office also operates the state archives and the Capitol museum.

For Immediate Release October 4, 2007	FFI Contact: Matt Carrothers Director of Media Relations 404-656-4269

Handel Announces Penalties for Ameriprise Financial Services, Inc. Atlanta— Secretary of State Karen Handel announced a consent agreement today with Ameriprise Financial Services, Inc. that includes significant monetary consequences. The agreement is part of a continuing effort to get tough on securities brokerage firms that fail to adequately supervise their salespersons. Ameriprise has agreed to pay a civil penalty of $40,000, make a $10,000 donation to the Investor Protection Trust for investor education programs in Georgia, and pay nearly $175,000 in investigative costs. The Office of the Secretary of State opened an investigation after receiving complaints about the business practices of several Ameriprise registered salespersons. Investigators found Ameriprise failed to discover forged customer signatures on financial documents prepared by two of the firm’s salespersons, who were later terminated. Investigators also identified other deficiencies in Ameriprise's supervisory systems. “Securities firms in Georgia are trusted by their clients, and they must be vigilant to deserve that trust,” Secretary Handel said. “The violations we discovered here undermine that trust, and simply will not be tolerated in our state.” In addition to the fine, Ameriprise has agreed to a two-year enhanced reporting and monitoring period. The firm has also made a number of changes in its structure and procedures designed to prevent such problems in the future. Karen Handel was sworn in as Secretary of State in January 2007. The Secretary of State's office offers important services to our business community, our government, and our citizens. These services include ensuring an efficient and secure election process, and the regulation of securities and professional license holders. The Office also operates the state archives and the Capitol museum.