Publicly available records provided by the Financial Industry Regulatory Authority (FINRA) indicate that broker/advisor, Lon Charles Faccini, Jr. (a/k/a Lon Charles Faccini) (CRD # 2736849) was recently suspended from the securities industry by FINRA’s Department of Enforcement after an investigation into unsuitable excessive trading (churning).
The Law Office of Kevin J. Deloatch, Esq. is interested in speaking to investors who have complaints regarding Mr. Faccini.
Registration Background for Lon Charles Faccini
Mr. Faccini first became registered in the securities industry in 1996. He was most recently registered with Coram, NY based Arrive Capital Markets (CRD # 8060) from June 2016 to March 2023. His prior registrations include Cape Securities, Inc. (CRD # 7072) from August 2010 to June 2016 and Liberty Partners Financial Services, LLC (CRD # 130390) from August 2006 to August 2010.
FINRA’s Allegations Against Lon Charles Faccini
According to the FINRA Letter of Acceptance, Waiver and Consent (AWC) dated February 16, 2023 (No. 2018056483903), Mr. Faccini consented to, without either admitting to or denying, the following findings by FINRA’s Department of Enforcement:
- “Between March 2017 and January 2019, while he was registered through Arive, [Mr.] Faccini engaged in excessive and unsuitable trading, including using margin, in the accounts of Customers A and B”;
- “Between July 2017 and January 2019, [Mr.] Faccini recommended that Customer A place 93 trades in his account—most of which were executed using margin—and Customer A routinely accepted Faccini’s recommendations”;
- “Collectively, the trades that [Mr.] Faccini recommended caused Customer A to pay approximately $55,389 in commissions and fees and another $12,997 in margin interest for a total of approximately $68,385”;
- “Between March 2017 and June 2018, [Mr.] Faccini recommended that Customer B place 22 trades in his account—all of which were executed using margin—and Customer B routinely accepted [Mr.] Faccini’s recommendations”;
- “Collectively, the trades that [Mr.] Faccini recommended caused Customer B to pay approximately $16,074 in commissions and fees and another $2,696 in margin interest for a total of approximately $18,770” and
- By virtue of his actions, Mr. Faccini violated FINRA Rule 2111 regarding suitability and FINRA Rule 2010 regarding standards of commercial honor and principles of trade.
FINRA Suspends Lon Charles Faccini from Securities Industry
As a result of such violations and in addition to the above-described findings and conclusions, FINRA’s February 16, 2023 AWC also indicates that Mr. Faccini consented to the following sanction(s):
- A six-month suspension from association with any FINRA member in all capacities;
- A fine in the amount of $5,000.00; and
- Restitution in the amount of $18,770.00 plus interest.
Lon Charles Faccini Has A Prior History of Securities Industry Customer Complaints
In addition to Lon Charles Faccini being suspended by FINRA from the securities industry regarding unsuitable excessive trading (churning), FINRA BrokerCheck for Mr. Faccini reveals that he has a history of customer complaints and/or customer-initiated arbitrations including but not necessarily limited to the following:
- On June 17, 2015 a customer-initiated arbitration was commenced against Mr. Faccini regarding alleged actions that occurred while he was associated with Liberty Partner Financial Services, LLC. The customer’s allegations included breach of fiduciary duty, common law fraud, negligence negligent misrepresentation, breach of contract, churning and unsuitability. The customer further alleged damages in the amount of $150,000.00. On October 14, 2016, an arbitration panel rendered an award for the customer in the amount of $42,983.00.
- On September 9, 2020 a customer-initiated arbitration was commenced against Mr. Faccini regarding alleged actions that occurred while he was associated Arrive Capital Markets. The customer’s allegations included negligence and churning. The customer further alleged damages in the amount of $112,246.00. On November 30, 2020, the matter was settled in the amount of $36,000.00.
- On September 19, 2018 a customer-initiated arbitration was commenced against Mr. Faccini regarding alleged actions that occurred while he was associated Cape Securities, Inc. The customer’s allegations included misrepresentation and unsuitability. The customer further alleged damages in the amount of $106,000.00. On March 22, 2023, the matter was settled in the amount of $40,000.00.
Have You Lost Money with Lon Charles Faccini?
If you or someone you know has or had a brokerage account with Mr. Lon Charles Faccini, Jr. (a/k/a Lon Charles Faccini) 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.