THE VIRGINIAN-PILOT
Copyright (c) 1994, Landmark Communications, Inc.
DATE: Friday, August 12, 1994 TAG: 9408120818
SECTION: BUSINESS PAGE: D02 EDITION: FINAL
LENGTH: Short : 26 lines
NationsBank Corp. set up an Acapulco trip contest for employees to encourage them to refer banking customers to the company's brokerage arm, internal memos show. The memos by Florida executive Jeff Joyner were obtained by the Florida Division of Banking, which is investigating the suitability of the company's securities sales for its customers' financial circumstances. Joyner's two memos early this year instructed the company's Florida brokers to capitalize on the ``Aim for Acapulco'' contest. The contest was intended as an incentive for NationsBank's banking employees to refer customers for possible securities purchases within the company. A financial incentive offered for securities referrals can be legal if it doesn't affect the suitability of the securities sold, the Florida Division of Banking said. NationsBank declined to comment. NationsSecurities is a joint venture of NationsBank with Dean Witter Financial Services Group, a unit of Dean Witter Discover & Co. (Bloomberg) by CNB