Publicly available records recently provided by the Financial Industry Regulatory Authority (FINRA) indicate that broker/advisor Philip Joseph Sparacino (CRD # 3243960), formerly with Red Bank, NJ based First Standard Financial Company LLC (CRD # 168340) was recently sanctioned by FINRA’s Department of Enforcement after an investigation into allegations of unauthorized, excessive and unsuitable trading while registered with First Standard Financial Company LLC. The Law Office of Kevin J. Deloatch, Esq. is interested in speaking to investors who have complaints regarding Mr. Sparacino.
Registration Background for Philip Joseph Sparacino
Mr. Sparacino became registered in the securities industry in 2007 and had been registered with First Standard Financial Company LLC from July 2014 to October 2019. His prior registrations included Alexander Capital, L.P. (CRD # 40077) from June 2012 to June 2014 and Brookstone Securities, Inc. (CRD # 13366) from May 2010 to June 2012.
FINRA’s Finding and Conclusions
According to FINRA Letter of Acceptance, Waiver and Consent (AWC) dated November 11, 2019, Mr. Sparacino consented to, without either admitting to or denying, the following findings by FINRA’s Department of Enforcement:
- In 2019, FINRA commenced an investigation into whether Sparacino violated FINRA rules by engaging in unauthorized, excessive and unsuitable trading while registered with First Standard;
- In furtherance of the investigation, FINRA sent a request to Sparacino on October 28, 2019, pursuant to FINRA Rule 8210, for the production of information and documents;
- In an October 30, 2019 email from Sparacino’s counsel, Sparacino acknowledged his receipt of FINRA’s request and indicated that he would not produce the requested information and documents; and
- By refusing to produce the requested information and documents, Sparacino violated FINRA Rule 8210 and FINRA Rule 2010.
FINRA Sanctions Philip Joseph Sparacino
As a result of such violations and in addition to the above described findings and conclusions, FINRA’s November 11, 2019 AWC also indicates that Mr. Sparacino consented to the following sanction:
- Being barred from association with any FINRA member firm in any and all capacities.
Philip Joseph Sparacino was Subject of State Securities Regulator Action
In addition to the above, according to FINRA BrokerCheck for Mr. Sparacino, he has been the subject of an action brought by a State securities regulator. On October 8, 2019, the State of New Jersey Bureau of Securities brought an action against Mr. Sparacino alleging:
Sparacino employed a device, scheme or artifice to defraud. Sparacino made untrue statements and omitted to state material facts necessary in order to make the statements made, in light of the circumstances under which they are made, not misleading. Sparacino engaged in an act, practice, or course of business which operates as a fraud or deceit upon any person. Sparacino engaged in dishonest or unethical business practices in the securities business.
In connection with the New Jersey regulatory action, Mr. Sparacino had civil and administrative penalties/fines levied against him in the amount of $250,000.00.
If you or someone you know has or had a brokerage account with Philip Joseph Sparacino and have concerns regarding losses in your investments or possible 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.