The law firm of Oakes & Fosher is presently investigating the alleged misconduct of former securities broker Michael Resciniti. According to his publicly available FINRA BrokerCheck report, Michael Resciniti has been the subject of multiple customer disputes.
Michael Resciniti was a New York based securities broker. He worked in the securities industry for seventeen years. During his career, he was registered with seventeen different securities firms. He is no longer working as a registered securities broker in any fashion.
His Registrations
- Global Capital Securities Corporation (2000-2001)
- Gilford Securities Incorporated (2001)
- Harrison Securities (2001-2002)
- Gunnallen Financial (2002-2003)
- Continental Broker-Dealer Corp. (2003-2004)
- Granite Associates (2004)
- LH Ross & Company (2004)
- J.P. Turner & Company (2004-2005, 2006)
- Milestone Financial Services (2005)
- New Castle Financial Services (2006-2008)
- A&F Financial Securities (2008)
- Aura Financial Services (2008-2009)
- Rockwell Global Capital (2009-2015)
- Laidlaw & Company (2015-2016)
- First Standard Financial Company (2016)
- Spartan Capital Securities (2016-2018)
The Allegations
- In October 2002, a customer alleged that Michael Resciniti charged them excessive commissions. This case was settled for $2,500 in damages.
- In November 2003, a customer alleged that Michael Resciniti failed to follow instructions. This case was settled for $2,500 in damages.
- In March 2015, a customer alleged that Michael Resciniti engaged in an excessive use of margin. This case is currently pending. The customer is seeking $5,300 in damages.
- In November 2017, a customer alleged that Michael Resciniti churned their account, recommended unsuitable investments, breached his fiduciary duty, and charged them excessive commissions. The alleged transgressions taking place between August 2016 and November 2017. This case was settled for $60,000 in damages.
- In May 2018, a customer alleged that Michael Resciniti churned their account, engaged in unauthorized trading, and engaged in unsuitable trading. This case is currently pending. The customer is seeking $53,047 in damages.
- Also in May 2018, another customer alleged that Michael Resciniti churned their account, executed unauthorized trades, and recommended unsuitable investments. This case is also currently pending. This customer is seeking $15,775 in damages.
Michael Resciniti was later barred by FINRA from acting as a securities broker in any fashion.
Churning
One of the most notable allegations levied against Michael Resciniti was that he churned his clients’ accounts. This is a very serious allegations due to how detrimental it can be to investors. Essentially, a broker who engages in this fraudulent act will trade an investor’s account excessively even if it serves no financial benefit for the investor. The reason that this is done then is for the broker to increase their own commissions. This act can be so harmful to investors because it prevents them from seeing investment returns and causes sales charges to add up and in turn cause principal investments to deteriorate.
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 in this fashion 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 Resciniti, please contact Oakes & Fosher for a free and private consultation.
