The law firm of Oakes & Fosher is presently investigating the alleged misconduct of former securities broker Roger Zullo. According to his publicly available FINRA BrokerCheck report, Roger Zullo has been the subject of multiple customer disputes.
Roger Zullo was a Massachusetts based securities broker. He worked in the securities industry for twenty-eight years. During his career, he was registered with three different securities firms. He is no longer working as a registered securities broker in any fashion.
His Registrations
- Guardian Investor Services (1988-1999)
- Park Avenue Securities (1999-2004)
- LPL Financial (2004-2016)
The Allegations
In December 2016, Roger Zullo was officially sanctioned by the state of Massachusetts. The findings in this matter state that he fabricated the suitability profiles of numerous customers of his member firm. He allegedly did this to sell them multiple large, illiquid, unsuitable, and high-commission variable annuities. These alleged sales provided him with substantial upfront profits to himself. Due to these alleged actions, he was fined $40,000, forced to pay $1.87 million in disgorgement, and barred by the State of Massachusetts from acting as a securities broker in any fashion. He was terminated from his position at LPL Financial immediately following the complaint from Massachusetts.
- In January 2017, a customer alleged that Roger Zullo failed to disclose facts and made misrepresentations about the commissions and fees associated with the unsuitable annuity exchange. This case was settled for $27,000 in damages.
- Also in January 2017, a customer alleged that the annuity sold to them by Zullo was misrepresented and that this misrepresentation caused losses in their retirement income. This case was settled for $44,181 in damages.
- In February 2017, a customer alleged that Roger Zullo made material misrepresentations of commissions and fees and that the annuity they purchased on Roger Zullo’s recommendation was highly unsuitable. This case was settled for $50,000 in damages.
What Does This Mean?
Securities brokers have a duty to their customers to always act in their best financial interests. This is their duty as a fiduciary. This means that brokers can only recommend investments that their customers are actually suited for. Brokers like Roger Zullo can determine if a particular investment is suitable for their customer by looking at various different factors provided to them by the customer. This includes the customer’s investment objectives, financial situation, liquidity needs, and risk tolerance. Brokers who invest their customers contrary to these needs have either done so in a fraudulent manner, placing their own financial interests ahead of their customer’s, or in a negligent one. Regardless if the broker’s intent was fraudulent or negligent, managing a customer’s account unsuitably disqualifies them from the ability to perform their duties in the required manner.
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 Roger Zullo, 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.
