Spartan Capital Securities Broker Albert Foronda Sanctioned By FINRA, Involved In Investor Disputes
Soreide Law Group has come across troubling information in regard to securities broker Albert Foronda (CRD#: 5737620, New York, New York). Evidently, the securities broker worked for Spartan Capital Securities LLC (August 2017 to present), Worden Capital Management LLC (2016 to 2017) and Legend Securities Inc. (2011 to 2016). Notably, FINRA issued Foronda a fine and suspension in 2020, and three investors filed disputes about him. Here’s more on what is alleged against him in these incidents.
FINRA Issues Fine, Suspension To Albert Foronda For Unauthorized Trading
First of all, FINRA, who regulates most securities firms and brokers in the United States, issued Albert Foronda a 45-day suspension and $7,500 fine in 2020. Evidently, Foronda accepted these sanctions to resolve FINRA’s allegations that he violated rules on discretionary trading and unauthorized trading. FINRA contended that Foronda made eight unauthorized transactions between two Worden Capital Management clients’ accounts. Supposedly, clients did not consent to trades that the securities broker made between June and August of 2017. Allegedly, Foronda’s trading caused at least one client to experience losses.
In addition, FINRA argued that when Albert Foronda worked for Worden Capital Management and Spartan Capital Securities, he made discretionary trades without permission. Specifically, Foronda did not have written authorization from clients in regard to discretionary trading. Moreover, the securities firm did not accept the discretionary accounts, meaning that the firm did not permit Foronda’s exercise of discretion.
Spartan Capital Securities Client Indicates That Foronda Made Excessive Trades
Evidently, a client of Spartan Capital Securities came forward with a dispute about Albert Foronda. In this May 2019 FINRA Arbitration Claim, the client alleged that Foronda made unsuitable trades. Secondly, the securities broker supposedly made excessive trades of stocks and options in the client’s account. The client also alleged that negligence was a factor. For this reason, Spartan Capital Securities opted to settle this matter through making a $385,000 payment to the client. Accordingly, this matter was resolved in September 2020.
Worden Client Alleges Sales Practice Violations In Dispute About Albert Foronda
Also, a client of Worden Capital Management and Legend Securities disputed Albert Foronda’s sales practices. In the April 2018 lawsuit, the client alleged that Foronda or the securities broker dealer acted in breach of fiduciary duty and in breach of contract. Not only that, but the client alleged that Foronda violated NASD and FINRA rules. Additionally, Foronda or the securities firms have been accused of negligence. These allegations relate to OTC equities trades in addition to common and preferred stock trades. Supposedly, the client sustained damages between November 2016 and August 2017. Because of this, they demanded $90,000 in this ongoing matter.
Client Alleges That Foronda Made Unauthorized Trades
Additionally, BrokerCheck shows that a client of Worden Capital Management complained about Albert Foronda in July 2017. Mainly, the client suggested that Foronda made unauthorized trades which resulted in losses for the client’s account. Consequently, Worden Capital Management paid the client $14,000 to resolve the matter.
Did You Sustain Losses By Investing Through Worden Broker Albert Foronda?
Have you suffered losses because of Albert Foronda? If so, contact Soreide Law Group at (888) 760-6552 and speak with experienced lawyers about a possible recovery of your investment losses. Soreide Law Group represents clients on a contingency fee basis and advances all costs. The firm has recovered millions of dollars for investors who have suffered losses due to the misconduct of financial advisors and securities brokers. FINRA BrokerCheck indicates that Foronda denies all allegations of his sales practice violations.