Southern Trust Stockbroker Sanctioned For Unregistered Solicitation
Frank Corrado Trombatore of Miami Florida a stockbroker currently employed by Southern Trust Securities Inc. is the subject of a Notice and Order to Cease and Desist issued by the State of Michigan Department of Licensing and Regulatory Affairs Corporations Securities and Commercial Licensing Bureau based on allegations that Trombatore solicited a securities transaction from a resident of Michigan during the time that neither Trombatore nor Southern Trust had maintained any securities registration in the state. In the Matter of Frank Trombatore Complaint No. 338509 (Apr. 24, 2019).
According to the Order, the Michigan resident purchased an investment from Trombatore despite Trombatore failing to be a licensed securities agent in Michigan, and while Southern Trust did not maintain any registration as a securities broker dealer. Apparently, there was no exception or exemption from the Michigan Uniform Securities Act offered by Trombatore or the firm to warrant the unregistered activities. Consequently, the Director of the Bureau found Trombatore’s conduct violative of the Michigan Uniform Securities Act Section 451.2402(1). The Order indicated that Trombatore may be fined $10,000.00 for engaging in conduct violative of the Securities Act.
This is not the first time that Trombatore has been subject of a regulatory action concerning unlicensed activities. Specifically, Trombatore was fined by the State of New Jersey and ordered to cease committing violations of New Jersey securities rules and laws according to an Order containing findings that while Trombatore was registered with CMC Group Ltd., Trombatore effected Marietta and North Georgia Railroads bond sales during the time that Trombatore lacked registration as a securities agent in the state. Case No. 2001-037. Apparently, New Jersey investors were offered gold bearer bonds when both Trombatore and CMC Group Ltd. did not have the required licensure in the state to effect securities sales.
Trombatore was employed by Southern Trust Securities between July 14, 2008 and November 4, 2015. He became reemployed with Southern Trust Securities on October 31, 2016.