investor advocates

Former UBS Broker, Ricardo Turlan, Suspended by FINRA – San Antonio, Texas

Published on: June 8, 2021 | by Iorio Altamirano

The Financial Industry Regulatory Authority (“FINRA”) has suspended financial advisor Ricardo Turlan from the securities industry for two months. Mr. Turlan consented to the suspension after FINRA alleged that he engaged in discretionary trading without written authorization in two customer accounts between June 2017 and February 2019. Mr. Turlan also allegedly mismarked approximately 72 trades as “unsolicited” when the trades should have been marked as “solicited.” FINRA also fined Mr. Turlan $7,500.

The alleged conduct occurred while UBS Financial Services Inc. (“UBS”) employed Mr. Turlan in San Antonio, Texas. UBS discharged Mr. Turlan in July 2019, alleging misconduct related to a non-discretionary account and trading in accounts that reached levels that could be considered unsuitable.

If you have suffered financial losses investing with Ricardo Turlan, or suspect that Mr. Turlan did not have your best interest in mind when recommending investments or making account transactions, contact New York securities arbitration law firm Iorio Altamirano LLP for a free and confidential review of your brokerage account.

Former SagePoint Financial, Inc. Broker Grant Birkley BARRED by FINRA – Barrington, Illinois

Published on: June 8, 2021 | by Iorio Altamirano

FINRA has barred former SagePoint Financial, Inc. broker Grant Birkley from the securities industry for failing to cooperate with a FINRA investigation of the Form U5 filed by SagePoint Financial, which stated that the firm had discharged Birkley after he admitted making referrals to an outside asset manager without the firm’s approval.

The Form U5 is the Uniform Termination Notice for Securities Industry Registration, and broker-dealers use it to terminate the registration of an individual in the appropriate jurisdictions and/or self-regulatory organizations (“SROs”).

If you have lost money with Grant Birkley, or SagePoint Financial, Inc., contact FINRA arbitration lawyers Iorio Altamirano LLP for a free and confidential evaluation of your account.

Former SagePoint Financial, Inc. Broker Cynthia Komarek BARRED by FINRA – Barrington, Illinois

Published on: June 8, 2021 | by Iorio Altamirano

FINRA has barred former SagePoint Financial, Inc. broker Cynthia Komarek from the securities industry for failing to cooperate with a FINRA investigation of the Form U5 filed by SagePoint Financial, which stated that the firm had discharged Komarek after she admitted making referrals to an outside asset manager without the firm’s approval.

The Form U5 is the Uniform Termination Notice for Securities Industry Registration, and broker-dealers use it to terminate the registration of an individual in the appropriate jurisdictions and/or self-regulatory organizations (“SROs”).

If you have lost money with Cynthia Komarek, or SagePoint Financial, Inc., contact FINRA arbitration lawyers Iorio Altamirano LLP for a free and confidential evaluation of your account.

Mario Rivero, Jr., Formerly with Wells Fargo, BARRED by FINRA – Elizabeth, New Jersey

Published on: June 8, 2021 | by Iorio Altamirano

FINRA has barred former Wells Fargo broker Mario Rivero, Jr. from the securities industry for failing to cooperate with a FINRA investigation into allegations made by two former customers.

If you have lost money with Mario Rivero, Jr., Wells Fargo, or LPL Financial LLC, contact FINRA arbitration lawyers Iorio Altamirano LLP for a free and confidential evaluation of your account.

FINRA Letter of Acceptance, Waiver, and Consent

Boiler Room Broker, James Flower, Barred by FINRA for Excessive Trading, Churning, Unauthorized Trading, Mismarking Orders, and Targeting Elderly Investors

Published on: June 3, 2021 | by Iorio Altamirano

Financial Industry Regulatory Authority (“FINRA”) Office of Hearing Officers has barred stockbroker James W. Flower from the securities industry for excessively trading in five customers’ accounts, executing 17 unauthorized trades, and mismarking 58 transactions. According to the findings, although he is based in New York, Mr. Flower generated business by cold calling people all over the country, focusing primarily on senior and elderly customers who are small business owners and retirees. Cold-calling customers is a common tactic for “boiler room” brokerage firms.

Mr. Flower was also ordered to pay restitution plus prejudgment interest to harmed customers. However, it is unclear whether he will be able to satisfy the judgment.

Mr. Flower was associated with Spartan Capital Securities, LLC since June 2019. Previously, he was associated with SW Financial from December 2015 to June 2019.

Investor Alert: FINRA Files Enforcement Action Against Broker-Dealer NYPPEX, LLC, and Two Executives Alleging They Made Material Misrepresentations And Omissions to Prospective Investors of NYPPEX Holdings

Published on: June 2, 2021 | by Iorio Altamirano

The Financial Industry Regulatory Authority’s Department of Enforcement has filed a disciplinary proceeding complaint against brokerage firm NYPPEX, LLC (CRD No. 47654), Former Chief Executive Officer (“CEO”) Laurence Allen (CRD No. 1063970), and Chief Compliance Officer (“CCO”) Michael Schunk (CRD No. 732595). The complaint alleges:

Allen continued to serve as NYPPEX, LLC’s CEO after being statutorily disqualified in December 2018 when the Office of the New York Attorney General (“New York Attorney General”) secured an Ex Parte Order (the “Order”) from the Supreme Court of the State of New York that preliminarily enjoined and restrained Mr. Allen and NYPPEX Holdings from engaging in securities fraud, violating New York Securities law, and converting or otherwise disposing of or transferring funds from ACP X, LP, a private equity fund controlled by Mr. Allen. NYPPEX, LLC’s CCO Michael Schunk allowed Mr. Allen to continue to associate as NYPPEX, LLC’s CEO despite his statutory disqualification.
In March 2019, Mr. Allen devised and orchestrated an aggressive sales campaign to raise $10 million for NYPPEX Holdings through the sale of securities in NYPPEX Holdings. While soliciting these investments, NYPPEX, LLC, and Allen intentionally or recklessly made a series of material misrepresentations and omissions of material fact to prospective investors concerning, among other things, NYPPEX Holdings’ valuation, its financial condition, and its management team. NYPPEX and Allen also failed to disclose to prospective investors the New York Attorney General’s ongoing investigation into Mr. Allen’s and NYPPEX Holdings’ alleged fraudulent activity and the Order that preliminarily enjoined both of them.

Broker Spotlight: Ross Barish of Joseph Stone Capital L.L.C. – Mineola, NY

Published on: May 31, 2021 | by Iorio Altamirano

Ross Barish is a stockbroker with Joseph Stone Capital L.L.C. (“Joseph Stone Capital”) in Mineola, New York. Mr. Barish is currently under investigation by the United States Securities and Exchange Commission (“SEC”) for defrauding sixteen retail customers by executing a high-cost, in-and-out pattern of trading that lost his customers over $800,000 while generating commissions and fees for him of more than $400,000.

The sixteen customers experienced total losses of $814,509.

If you have suffered financial losses investing with Ross Barish or Joseph Stone Capital L.L.C., or suspect that Mr. Barish did not have your best interest in mind when recommending investments or making account transactions, contact New York securities arbitration law firm Iorio Altamirano LLP for a free and confidential review of your account or annuity contract.

ONESCO Ordered to Pay Nearly $1.3 Million by FINRA – Cincinnati, Ohio

Published on: May 27, 2021 | by Iorio Altamirano

FINRA has fined and censured the O.N. Equity Sales Company, Inc. (“ONESCO”) over the firm’s failure to supervise a broker’s recommendations involving the purchase and liquidation of variable annuities. ONESCO was fined $275,000 and ordered to pay $1 million in restitution to customers.

Variable annuities are complex products, commonly marketed and sold to retirees or individuals saving for retirement, that permit customers to choose among a variety of contract features and options. Typically, variable annuities assess surrender charges for customers taking early withdrawals beyond a specified percentage of the annuity’s account value. Customers can also incur tax penalties and additional charges for early withdrawals. As such, they are generally not appropriate for customers with a short-term investment horizon.

If you have lost money with ONESCO, contact FINRA arbitration lawyers Iorio Altamirano LLP for a free and confidential evaluation of your account.

UnionBanc Investment Services, LLC Fined by FINRA – Glendale, California

Published on: May 26, 2021 | by Iorio Altamirano

FINRA has fined UnionBanc Investment Services, LLC (“UBIS”) $100,000 over supervisory violations related to variable annuity transactions and exchanges.

Variable annuities are complex products, commonly marketed and sold to retirees or individuals saving for retirement, that permit customers to choose among a variety of contract features and options.

If you have lost money with UnionBanc Investment Services, LLC, contact FINRA arbitration lawyers Iorio Altamirano LLP for a free and confidential evaluation of your account.

Calton & Associates, Inc. Sanctioned by FINRA Over Non-Traditional and Volatility-Linked Exchange Traded Products

Published on: May 20, 2021 | by Iorio Altamirano

Iorio Altamirano LLP is investigating claims on behalf of customers of Calton & Associates, Inc. after the firm was censured, fined $250,000, and ordered to pay $472,007 in restitution to harmed investors by FINRA.

The sanctions involve supervisory failures between February 2014 and February 2020 related to suitability obligations connected with the sale of non-traditional and volatility-linked exchange-traded products (ETPs). Non-traditional and volatility-linked ETPs are complex products intended to be held for short periods of time as part of a trading strategy rather than as buy-and-hold investments. Although the firm was aware of the complex nature of the products, Calton permitted its representatives to offer the products to retail customers without a reasonable supervisory system to properly understand the products’ features and risks and review and monitor transactions. Consequently, Calton representatives recommended non-traditional and volatility-linked ETPs to retail customers without understanding the products were intended for short-term trading rather than as buy-and-hold investments, and the firm’s customers held the products for longer periods of time, resulting in losses.

In addition, during the period from January 1, 2014, to June 21, 2018, Calton failed to offer retail customers educational materials prior to their first purchases of collateralized mortgage obligations (CMOs), and it failed to establish, maintain, and enforce a supervisory system, including written supervisory procedures (WSPs), reasonably designed to achieve compliance with FINRA rules.