The Financial Industry Regulatory Authority sanctioned yet another ex-broker who had been associated with First Standard Financial — a Red Bank, New Jersey-based broker-dealer whose license was canceled by FINRA — over excessive trading in customers’ accounts.
Without admitting or denying the findings, Frank Venturelli signed a letter of acceptance, waiver and consent on June 12 in which he agreed to be suspended from associating with any FINRA member firm, in all capacities, for 11 months and provide partial restitution to his customers, in the amount of $30,000. FINRA accepted the letter on Friday.
Timothy Feil, a partner at New York law firm Carmel, Milazzo & Feil, which represented Venturelli, did not immediately respond to a request for comment on Monday.
Venturelli first registered with FINRA as a general securities representative through his association with First Standard. From Nov. 18, 2014, through March 23, 2016, Venturelli was registered with FINRA as a rep through First Standard. On April 22, 2016, he again registered with FINRA as a rep through First Standard, where he remained until his registration was terminated Sept. 25, 2019.
According to a customer dispute disclosure on Venturelli’s profile at FINRA’s BrokerCheck website, a client requested damages of $50,000 over excessive trading and unsuitable trades by the broker. It is still pending, according to BrokerCheck, which also noted Venturelli is no longer registered as a broker.
Between July 2016 and November 2018, Venturelli excessively traded three customers’ accounts in violation of FINRA Rules 2111 (governing suitability of investment strategies) and 2010 (governing standards of commercial honor and principles of trade).