Publicly available records provided by the Financial Industry Regulatory Authority (FINRA) indicate that broker/advisor Robert F. Spiegel (CRD # 5861656) was recently suspended from the securities industry by FINRA’s Department of Enforcement after an investigation into excessive and unsuitable trading (“churning”). The Law Office of Kevin J. Deloatch, Esq. is interested in speaking to investors who have complaints regarding Mr. Spiegel.
Registration Background of Robert F. Spiegel
Mr. Spiegel first became registered in the securities industry in 2010 and was most recently registered with Staten Island, NY based First Standard Financial Company, LLC (CRD # 168340) from October 2014 to November 2018. His prior registrations include Alexander Capital, L.P. (CRD# 40077) from April 2012 to October 2014 and Legend Securities, Inc. (CRD # 44952) from March 2011 to April 2012.
FINRA’s Finding and Conclusions
According to FINRA Letter of Acceptance, Waiver and Consent (AWC) dated January 24, 2020, Mr. Spiegel consented to, without either admitting to or denying, the following findings by FINRA’s Department of Enforcement:
- Between October 2016 and December 2017 (the Relevant Period) Mr. Spiegel “engaged in quantitatively unsuitable trading in the account of customer JM, a 70-year old farmer”;
- “[Mr.] Spiegel recommended all of the trading in JM’s account, including executing a significant number of trades using margin, and JM followed his recommendations. As a result, Spiegel exercised de facto control over JM’s account”;
- “[Mr.] Spiegel’s trading of JM’s account resulted in a high turnover rate and cost-to-equity ratio, as well as significant losses”;
- “[Mr.] Spiegel’s trading in JM’s account was excessive and unsuitable given the customer’s investment profile”; and
- By virtue of the foregoing, Mr. Spiegel violated FINRA Rule 2111 regarding suitability 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 Robert F. Spiegel
As a result of such violations and in addition to the above described findings and conclusions, FINRA’s January 24, 2020 AWC also indicates that Mr. Spiegel consented to the following sanction(s):
- A suspension from associating with any FINRA member in any capacity for four months;
- A fine of $5,000.00 and
- Restitution in the amount of $18,047.00.
Robert F. Spiegel has a History of Complaints
In addition to the findings of FINRA’s Department of Enforcement, FINRA BrokerCheck reveals Mr. Spiegel has a history of customer complaints regarding excessive and unsuitable trading. Prior customer complaints against Mr. Spiegel include, but are not necessarily limited to the following:
- On November 16, 2016, a customer initiated arbitration was filed involving Mr. Spiegel. The Complaint alleged damages in the amount of $491,221.20 from churning and/or unsuitability. The arbitration was eventually settled on October 17, 2017 in the amount of $185,500.00;
- On December 3, 2018 a customer initiated arbitration was filed involving Mr. Spiegel alleging churning and unsuitable trading. The complaint alleged damages in the amount of $90,198.00. The arbitration is currently unresolved.
If you or someone you know has or had a brokerage account with Mr. Robert F. Spiegel 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.
