Supreme Alliance LLC has agreed to pay a fine of $80,000 as a part of a settlement with the Financial Industry Regulatory Authority (FINRA).

Between September 2019 and May 2022, Supreme Alliance failed to establish and maintain a supervisory system and written supervisory procedures reasonably designed to supervise recommendations of purchases and exchanges of deferred variable annuities and supervise the conduct and documentation of investigations into newly hired registered representatives for compliance with FINRA Rule 3110(e).

Further, the firm failed to surveil for inappropriate rates of variable annuity exchanges. Accordingly, the firm violated Exchange Act Rule 15l-1(a)(1), for conduct postdating June 30, 2020, and FINRA Rules 3110(a), (b), (e), 2330(c)-(d), and 2010.

On top of the $80,000 fine, the firm has agreed to a censure.

Supreme Alliance has been a FINRA member since 1998. The firm is headquartered in Charlotte, North Carolina, and the firm’s business includes the distribution of mutual funds and variable life insurance or annuities. The firm has approximately 40 registered representatives across four active branches.