Publicly available records provided by the Financial Industry Regulatory Authority (FINRA) indicate that broker, Alfonse Joseph Stazzone (CRD # 4908107) was recently suspended from the securities industry by the FINRA Department of Enforcement for excessively trading (churning) a customer account.
The Law Office of Kevin J. Deloatch, Esq. is interested in speaking to investors who have complaints regarding Mr. Stazzone.
Registration Background for Alfonse Stazzone
Mr. Stazzone first became registered in the securities industry in 2005. He was most recently registered with Holmdel, NJ based Monmouth Capital Management LLC (CRD # 290248) from April 2021 to July 2021. His prior registrations include Garden State Securities Inc. (CRD # 10083) from November 2019 to March 2021, Woodstock Financial Group, Inc. (CRD # 38095) from May 2013 to December 2019.
FINRA’s Allegations Against Alfonse Stazzone
According to FINRA Letter of Acceptance, Waiver and Consent (AWC) dated August 16, 2021, Mr. Stazzone consented to, without either admitting to or denying, the following findings by FINRA’s Department of Enforcement:
- “Between September 2017 and August 2018, while he was registered through Woodstock, [Mr.] Stazzone engaged in quantitatively unsuitable trading in the account of one customer (Customer 1), a 57 year old manager at a printing company whose only prior experience with securities was with mutual funds in his retirement account”;
- “[Mr.] Stazzone recommended frequent trading in Customer 1’s account, which resulted in an annualized cost-to-equity ratio of 221.56”;
- “This means that Customer 1’s investments had to grow by more than 221 percent to break even”;
- “Customer 1 paid more than $173,000 in commissions during this period”;
- “The securities transactions recommended by [Mr.] Stazzone in Customer 1’s account were excessive and unsuitable given the customer’s investment profile”; and
- By virtue of his actions, Mr. Stazzone violated FINRA Rule 2111, regarding suitability and FINRA Rule 2010, regarding standards of commercial honor and principles of trade.
FINRA Sanctions Alfonse Stazzone
As a result of such violations and in addition to the above described findings and conclusions, FINRA’s August 16, 2021 AWC also indicates that Mr. Stazzone consented to the following sanction(s):
- A four-month suspension from association with any FINRA member in all capacities; and
- A fine in the amount of $5,000.00.
Alfonse Stazzone Has A History of Securities Industry Customer Complaints
In addition to the August 16, 2021 AWC showing Alfonse Stazzone being suspended from the securities industry by FINRA for excessively trading (churning) a customer account, FINRA BrokerCheck for Alphonse Stazzone reveals he has a prior history of customer complaints and/or customer initiated arbitrations, including but not necessarily limited to the following:
- On August 31, 2017, a customer-initiated arbitration was filed naming Mr. Stazzone as a Respondent regarding alleged actions that occurred while he was associated with Chelsea Financial Services and Woodstock Financial Group. The customer alleged unsuitability, churning and breach of contract among other allegations. The customer further alleged damages in the amount of $148,500.00 and $975,727.00. On October 16, 2017 the arbitration was settled in the amount of $60,000.00.
If you or someone you know has or had a brokerage account with Alfonse Joseph Stazzone and have concerns regarding losses in your investments or possible sales practice violations including fraud, churning or unsuitability, you may be entitled to recover lost funds. The Law Office of Kevin J. Deloatch, Esq. has an extensive securities law practice and over 30 years of experience on Wall Street. Call today at (646) 792-2156 for a free consultation. The time to file your claim may be limited so you should call today to avoid delay.