The law firm of Oakes & Fosher is currently investigating the alleged misconduct of securities broker Michael Joseph Dellaporta Jr. According to his publicly available FINRA BrokerCheck report, Michael Dellaporta had been the subject of multiple customer disputes over the course of his career. He is no longer working as a securities broker in any fashion.
Michael Dellaporta was a Florida-based securities broker who had worked in the securities industry for forty-two years. During his career, he had been registered with sixteen different securities firms.
- Bevill, Bresler & Schulman (1976-1979 / 1981-1985)
- Haas Securities Corporation (1979-1979)
- E.S.M. Securities (1979-1981)
- Austin Investment Planning (1982-1983)
- Bear, Stearns & Co. (1985-1985)
- M.G.S.I. Securities (1986-1989)
- Mortgage Government Securities (1987-1991)
- Meridian Government Securities (1991-1995)
- ABN AMRO Securities (1995-1996)
- Dean Witter Reynolds (1996-2000)
- Prudential Securities (2001-2003)
- Wachovia Securities (2003-2005)
- Oppenheimer & Co. (2005-2005 / 2005-2010)
- Ameriprise Financial Services (2010-2015)
- Fusion Analytics Securities (2015-2018)
- B.B. Graham & Company (2018-2019)
- In July 2013, a customer alleged that Michael Dellaporta had excessively traded unsuitable investments in their account. This case was settled for $375,000 in damages.
- In January 2017, a customer alleged that Dellaporta had recommended unsuitable investments that were further purchased without permission. This case was settled for $150,000 in damages.
- In January 2021, a customer alleged that Dellaporta had solicited the customer to make a substantial investment into Global Capital LLC, a Florida-based company that allegedly fraudulently raised more than $322 million from 3600 investors between 2014 and 2018. This case is currently pending, and the customer is seeking $360,000 in damages.
- In April 2021, FINRA officially sanctioned Dellaporta following his refusal to produce information and documents requested by FINRA in connection with its investigation into Dellaporta’s involvement in an outside business activity. As a result of these findings, Dellaporta was barred from acting as a securities broker in all capacities indefinitely.
What Is Churning?
Securities brokers receive compensation through either charging a commission on every transaction, or by charging an annual fee to customers for managing the brokerage account. Charging a commission on every trade can lead a broker to buy or sell more frequently in order to earn more compensation. . This method of compensation can lead to a fraudulent method of trading known as churning, where securities brokers trade an investor’s account excessively with the intent of increasing the amount of compensation they receive through commission. Churning can be incredibly harmful to investors as it prevents their principal from growing as expected, can result in a securities broker making unsuitable trades they might not otherwise, and it causes the customer to incur the highly unnecessary charges paid to the brokers as their commissions. These charges can very easily rack up and significantly drain an investor’s principal.
Oakes & Fosher Can Help
Many investors are unaware of the legal recourse available to them after losing money due to securities broker fraud and/or negligence. The truth is that investors who have lost money due to this fraud or negligence may actually be entitled to damages.
Oakes & Fosher dedicates its entire legal practice to helping investors across the nation. If you, or someone you know, have lost money investing with Michael Joseph Dellaporta Jr., please contact Oakes & Fosher for a free and private consultation. Oakes & Fosher handles cases on a contingency basis, which means there are no fees charged unless we collect for you.