I was hired by a registered rep to market to my current insurance clients while I was studying to become securities licesnsed. He was to pay me a percentage of the total commissions brought in by my clients. I knew nothing about the securities business and had no reason to believe this award-winning top rep would deceive me. I was told that I had been cleared by the BD to work with him and went about my marketing.

After I quit my previous position as a captive insurance agent, thus voluntarily terminating my agent contracts with all of the companies I used, I was now dependent upon the money I would make from this rep and his company. After I brought in my big clients, the rep immediately changed how he was paying me, knowing I had no other source of income. He was paying my on a case by case basis.

While studying for my sercurities license I realized that I could not be paid in this manner. When I approached the rep about it, he lied and said I was a trad agent and was registered with the BD to bring in my clients. I was still uneasy and proceeded with my marketing until I passed my 6 and 63 exams. When I again asked about my pay, if it was legal, and if I could legally be marketing like this the rep told me to get out and never come back. He refused to pay me, refused to give me an accounting of the business I brought in, and sent out letters trying to keep my clients.

I am terrified that now I am licensed he will try to do something to me. Am I in trouble for accepting money like this?? I did not accept any money after becoming licensed. I want to turn him in to the BD and to FINRA, but since he is a top producer and I am the little guy, I am afraid they will try to sink me. And, I worry that I may be sanctioned in some manner.

What should I do?? This man clearly failed to supervise me, but am I going to shoot myself in the foot by turning him in??

Have you browsed through the information in LawInfo's Free Legal Resource Center to learn more about your issue yet? See: http://www.lawinfo.com/consumer.html and http://resources.lawinfo.com/en/index.html. You can certainly try to speak to a lawyer to determine what legal options may be available. In the meantime, you may be able to learn more on your own. Search the "Free Legal Resources" tab, or browse the Consumer Resources. Good luck.