Former Ameriprise Advisor Wins $200K, U5 Expunged

A three-member FINRA arbitration panel awarded former Ameriprise advisor Brooke Pilant $200,000 and ordered the firm to delete its explanation for her 2024 departure from her Form U5 and record the exit as voluntary.

The panel granted $120,000 in compensatory damages, $80,000 for emotional distress and $500 to cover Pilant’s filing fee. It also directed Ameriprise to withdraw or expunge a related filing with the Kentucky Department of Insurance.

Pilant worked at Ameriprise from 2017 until 2024 and filed a complaint last year alleging defamation, intentional misrepresentation, tortious interference and breach of a settlement agreement. The arbitration award summarized that Pilant accused the firm and three employees of defaming her after she raised concerns about unethical practices in her office.

Victor Hayslip, Pilant’s attorney, described her concerns as alleging a “double standard for how people were treated” in the office overseen by advisor William Maclin. Hayslip identified the contested material as language Ameriprise used on the Form U5 and said Pilant had previously reached a settlement with Maclin.

Ameriprise disagreed with certain aspects of the panel’s decision and emphasized its commitment to integrity, professionalism and respect. The firm also noted it takes regulatory reporting responsibilities seriously and described Pilant as an employee of an independent financial advisor.

Of the three employees named in Pilant’s complaint, William Maclin is no longer registered with FINRA. George Varones left Ameriprise last year and now lists a role at Wells Fargo on his LinkedIn profile. Jennifer Schuster remains an Ameriprise financial advisor in Magnolia, Arkansas.

The defendants invoked Tennessee’s Anti-SLAPP Act during the arbitration, arguing they were protected for filing government-required disclosures about a registered representative and investment advisor representative.

Expungement in brokerage records is permitted when alleged misconduct is factually impossible, clearly erroneous or false. FINRA updated expungement rules in 2023; arbitration panels typically give limited explanation when they grant expungement.

Douglas Schulz, a securities industry consultant, described it as uncommon for arbitrators to award monetary damages alongside expungement, and said the combination suggests the panel found the U5 entry significantly harmful. The panel’s written decision provided only a brief summary of Pilant’s claims and few specifics about the contested U5 language.

Pilant is now a financial advisor at Dynasty Wealth Solutions in Bartlett, Tennessee, and has been registered with the independent broker-dealer Cambridge Investment Research since 2024.