CFP Board Chair, Ethics Members Resign Amid Possible Violations

The chairman of the group that certifies financial planners and two members of its ethics committee resigned over allegations that they may have violated professional-conduct standards.

Certified Financial Planner Board of Standards Inc. Chairman Alan Goldfarb and two members of the organization’s disciplinary and ethics commission, who weren’t identified, stepped down after being accused of violating conduct rules, the Washington-based board said today in a statement.

The alleged violation involved how Goldfarb characterized his own income, the Wall Street Journal reported earlier today, citing an e-mail from the former chairman.

“The committee found sufficient merit in the allegations against Mr. Goldfarb and the two members of the DEC to refer them for further proceedings under CFP Board’s disciplinary rules and procedures,” according to the statement. “When presented with the committee’s findings, they decided to resign from their positions.”

Goldfarb, a certified financial planner with Weaver Wealth Management in Dallas, didn’t immediately respond to phone and e- mail messages. He said in a letter released by the group that he believes he was in compliance with the ethics standards, which he helped write.

“I am certain that this was a misunderstanding and I welcome the opportunity to engage in good faith the CFP Board’s enforcement process consistent with its disciplinary rules and procedures,” he said in the letter dated Oct. 30.

To contact the reporter on this story: Dawn Kopecki in New York at dkopecki@bloomberg.net

To contact the editor responsible for this story: David Scheer at dscheer@bloomberg.net

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