The law firm of Oakes & Fosher is presently investigating the possible misconduct of securities broker Michael Rosalia. According to his publicly available FINRA BrokerCheck report, Michael Rosalia has been the subject of multiple customer disputes over the course of his career.

Michael Rosalia is a New York based securities broker. He has worked in the securities industry for twenty-six years. During his career, he has been registered with five different securities firms.

His Registrations

  • Royce Investment Group (1993-1994)
  • Ladenburg Capital Management (1994-2006)
  • American Capital Partners (2006-2013)
  • Rockwell Global Capital (2013-2015)
  • Worden Capital Management (2015-Present)

The Allegations

  • In April 1997, a customer alleged that Michael Rosalia executed unauthorized transactions and recommended unsuitable securities. This case was settled for $22,500 in damages.
  • In April 2000, a customer alleged that Michael Rosalia engaged in unauthorized trading, failed to follow instructions, and misrepresented material facts. This case was settled for $50,000 in damages.
  • In March 2009, a customer alleged unsuitability, unauthorized trading, and failure to execute trades. This case was settled for $900,000 in damages.
  • In May 2018, a customer alleged that Michael Rosalia churned their account, engaged in an improper use of margin, recommended unsuitable securities, and charged excessively high commissions. This case was settled for $150,000 in damages.
  • In November 2018, a customer alleged that Michael Rosalia engaged in common law fraud, misrepresented material facts, handled their account negligently, breached contract, and breached his fiduciary duty. This case was settled for approximately $15,000 in damages.
  • In April 2019, a customer alleged that Michael Rosalia charged them an unauthorized commission.

Unsuitable Recommendations

One of the most noteworthy allegations levied against Michael Rosalia was that he made unsuitable investment recommendations. Securities brokers are required by law to only recommend securities to customers that they know are suitable for them. Brokers are expected to conduct the necessary due diligence that is required for them to discern an investment’s suitability for any given customer. They can determine this by analyzing factors that include the customer’s risk tolerance, investment objectives, liquidity needs, and financial situation. Securities brokers cannot excuse themselves by claiming that they were unaware of an investment’s unsuitability.

Margin Trading

Another one of the most noteworthy allegations levied against Michael Rosalia was that he engaged in an improper use of margin trading. Margin trading centers around investors purchasing securities through funds loaned to them by the securities firm. This practice can be highly unsuitable for investors who are unaware of how it can actually hurt them. When an investor purchases a security on margin, and the value of the product goes down, the investor must repay the amount the security was originally purchased at.

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, has lost money investing with Michael Rosalia, 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.