Salter on David Landrum's business

The Clarion Ledger's Sid Salter blogs on David Landrum's business background, "Madison businessman David Landrum's early start on TV ads and his personal wealth should make him an early target of fellow challengers Charlie Ross, Gregg Harper and John Rounsaville. Landrum's connections to Primerica and his opposition to Federal Trade Commission regulation of such companies through the 'Business Opportunity Rule' will get some serious scrutiny — and should get that scrutiny. He was already the target of some anonymous attacks on YouTube that focused on his connections to Primerica — a multi-level marketing financial services concern."

On Landrum's view on that subject, "[Landrum] believes the government should have a lesser role, however, when dealing with problems like fallout from the sub-prime mortgage industry. The main role of Washington in such a situation is to conduct oversight and raise awareness, he believes."

Here is a copy of Landrum's letter to Don Clark of the Federal Trade Commission.

In the letter, Landrum opposed further FTC oversight for the following two reasons:

1) Landrum writes, "The rule does not take into account the fact that large companies such as ours, who are subsidiaries of publicly traded companies (as we are), are both the furthest from the work-at-home schemes you’re attempting to target AND the most impacted by the requirements of this rule. Our company will have the largest disclosures to make because of the sheer size of our parent company and affiliates and the volume of our business (the very things that legitimize our company)."

2) Landrum continues, "This rule does not take into consideration existing rigorous regulatory oversight that Primerica already has. My business is regulated by: the SEC, the NASD, state Insurance departments, state Attorney Generals, the FTC, the FCC, state and federal banking and lending regulators… (the list goes on). Pursuant to NASD and SEC rules, we are audited on a regular basis (at least annually) to ensure we meet corporate and regulatory standards. All materials that I use for introducing people to Primerica’s business have been approved by attorneys who are experts in the regulations that govern our business. I cannot utter a single word that is noncompliant with any company policy or regulation without the risk of discipline."