After just two months on the job, Larry Roth is stepping down as CEO of New York-based RCS Capital, according to a filing with the U.S. Securities and Exchange Commission.
According to a report filed on Thursday, Roth resigned on Sunday, Jan. 17. At the same time, RCS’s board of directors appointed Bradley E. Scher, an independent director and the chair of the executive committee, as CEO effective immediately.
Roth will continue to serve as CEO of RCS Capital’s retail advice subsidiary, Cetera Financial Group, which includes several independent broker-dealers.
"We're very pleased that Larry Roth is transitioning back to serving solely as CEO of Cetera Financial Group,” said Cetera spokesman Joseph Kuo in a Friday statement. “Having accomplished his primary objective of reaching an agreement with RCS Capital lenders to financially restructure and transform into a Cetera-only entity, Larry is now eager to focus all of his attention and energies on the continuing success of Cetera and the financial advisors served by the network."
RCS Capital recently announced a deal to raise $150 million in working capital as it moves through a Chapter 11 bankruptcy reorganization and a plan to restructure Cetera as it winds down its wholesale distribution and investment banking businesses and sells other entities.
Scher joined the RCS Capital board when the bankruptcy was announced.
Since 2005, Scher has served as a managing member of Ocean Ridge Capital Advisors, a New Rochelle, N.Y.. consulting company specializing in corporate restructuring, interim management and serving as a liquidation and litigation trustee.
In his new role as CEO, Scher will be paid $20,000 a month.