Publicly available records provided by the Financial Industry Regulatory Authority (FINRA) indicate that broker/advisor Daniel R. Castoriano (CRD # 4229838) was recently suspended from the securities industry by FINRA’s Department of Enforcement during the course of an investigation into the unauthorized use of discretion in a customer account. The Law Office of Kevin J. Deloatch, Esq. is interested in speaking to investors who have complaints regarding Mr. Grant.
Registration Background for Daniel R. Castoriano
Mr. Castoriano first became registered in the securities industry in September 2000 and was most recently registered with New Orleans, LA based LPL Financial LLC (CRD # 6413) in June 2019. His prior registrations include Century Securities Associates Inc. (CRD # 28218) from December 2003 to June 2019 and Edward Jones (CRD # 250) from September 2000 to December 2003.
FINRA’s Finding and Conclusions
According to FINRA Letter of Acceptance, Waiver and Consent (AWC) dated January 31, 2020, Mr. Castoriano consented to, without either admitting to or denying, the following findings by FINRA’s Department of Enforcement regarding the unauthorized use of discretion:
- “In the period from September 26, 2018 to May 22, 2019, [Mr.] Castoriano used discretion to execute six trades on four dates in one of his customer’s accounts”;
- “Although [Mr.] Castoriano made the trades pursuant to an investment strategy agreed to with the customer, he did not have written authorization from the customer or permission from the Firm to exercise discretion in the customer’s account”;
- “The Firm’s policies also prohibited discretionary transaction without written authority from the customer and prior approval from the Firm”; and
- As a result of his actions, Mr. Castoriano violated FINRA Rule 3260(b) regarding authorization and acceptance of discretionary accounts, NASD Rule 2510(b) regarding discretionary trading and discretionary accounts and FINRA Rule 2010, which requires associated persons, in the conduct of business, to “observe high standards of commercial honor and just and equitable principles of trade.“
FINRA Sanctions Daniel R. Castoriano
As a result of such violations and in addition to the above described findings and conclusions, FINRA’s January 31, 2020 AWC also indicates that Mr. Castoraino consented to the following sanction(s):
- A suspension from association with any FINRA member firm in any and all capacities for 20 business days; and
- A fine of $5,000.00.
Daniel R. Castoriano has a History of Complaints
In addition to the findings of FINRA’s Department of Enforcement, FINRA BrokerCheck reveals Mr. Castoriano has a history of customer complaints and/or arbitrations. On September 17, 2003 a customer initiated a complaint which was received by Edward Jones. The customer alleged Mr. Castoriano failed to follow his instructions to sell two CD’s (bonds). The Complaint alleged damages in the amount of $86,000.00. The complaint was denied without action on September 25, 2003.
If you or someone you know has or had a brokerage account with Mr. Daniel R. Castoriano and have concerns regarding losses in your investments or possible sales practice violations including fraud, 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.