FINRA Bars Spartan Stockbroker In Investigation

stockbrokerfraud4 - FINRA Bars Spartan Stockbroker In InvestigationMichael James Resciniti of Spartan Capital Securities LLC has been barred from associating with any Financial Industry Regulatory Authority (FINRA) member in any capacity founded on accusations that Resciniti was unresponsive to a FINRA inquiry. Case No. 2018058707101 (Nov. 19, 2018).

According to FINRA Public Disclosure, Resciniti’s non-cooperation had been met with a suspension by FINRA on September 10, 2018. Once the Notice of Suspension dated August 15, 2018 was issued to Resciniti, he was provided three months to satisfy FINRA’s inquiry or otherwise seek termination of his suspension. Since he failed to do so, FINRA automatically barred him on November 19, 2018.

This is not the first time that Resciniti has been sanctioned by FINRA for misconduct in the securities industry. In particular, he has been suspended from associating with any FINRA member in any capacity supported by findings that during the period in which Resciniti was employed by Laidlaw Company (UK) Ltd., unauthorized transactions were executed in the accounts of thirty-one customers; conduct violative of FINRA Rule 2010. Letter of Acceptance Waiver and Consent No. 2015046441601 (Nov. 16, 2017). Resciniti has also been suspended by National Association of Securities Dealers according to an Order containing findings that Resciniti effected unauthorized transactions in the account of a continental Broker-Dealer Corp. customer; conduct violative of NASD Rule 2110. Case No. ELI2003056201 (Apr. 30, 2007).

FINRA Public Disclosure reveals that Resciniti is referenced in eight customer initiated investment related disputes that concern allegations of his violative conduct when he was associated with securities broker dealers including Rockwell Global Capital, Laidlaw and Company (UK) Ltd., Spartan Capital Securities and Milestone Financial Services. In particular, a customer filed an investment related complaint involving Resciniti’s conduct in which the customer requested $15,800.00 in damages based upon allegations that common and preferred stock trades had been effected in the customer’s account without the customer’s permission while Resciniti was associated with Milestone Financial Services Inc.

Another customer filed an investment related complaint concerning Resciniti’s conduct where the customer sought more than $5,000.00 in damages based upon accusations that margin had been excessively utilized in regard to the common or preferred stock transactions effected in the customer’s account when Resciniti was associated with Rockwell Global Capital. Resciniti is also the subject of a customer initiated investment related arbitration claim in which the customer requested $53,047.00 in damages founded on accusations that trades had been effected in the customer’s account on an unsuitable and unauthorized basis; and stock and over-the-counter equities positions were churned resulting in the customer incurring unwarranted losses. FINRA Arbitration No. 18-01736 (May 15, 2018).

An additional customer initiated investment related arbitration claim in regard to Resciniti’s conduct was resolved for $60,000.00 in damages supported by allegations that between August of 2016 and November of 2017, Resciniti charged excessive commissions on stock trades placed in the customer’s account; violated his fiduciary duties to the customer; executed transactions that were unsuitable for the customer; and churned the customer’s account. FINRA Arbitration No. 17-02818 (June 20, 2018).

Resciniti’s employment with Spartan Capital Securities was terminated on February 28, 2018. He has been associated with at least four different broker dealers who have been expelled by securities regulators for violation of federal securities laws or who are otherwise defunct.