DOUGLAS EDWARD SZEMPRUCH Suspended by FINRA

On July 9, 2021, DOUGLAS EDWARD SZEMPRUCH, formerly with AEGIS CAPITAL CORP of Melville, New York, was suspended by FINRA for 12 months (7/19/2021-7/18/2022) and was ordered to pay restitution of $99,720.87.
According to the FINRA report, without admitting or denying FINRA’s findings, DOUGLAS EDWARD SZEMPRUCH consented to the sanctions and to the entry of findings that he allegedly engaged in unsuitable trading in client accounts.
FINRA’s findings stated that each client had an investment objective of growth or balanced growth and a risk tolerance of moderate. DOUGLAS EDWARD SZEMPRUCH allegedly recommended the trading in the client accounts and the clients routinely followed his recommendations.
Also, according to FINRA, Szempruch allegedly exercised discretion when executing trades in these clients' accounts and, as a result, exercised de facto control over their accounts.
According to FINRA, DOUGLAS EDWARD SZEMPRUCH's trading in the accounts was excessive and unsuitable given the clients' investment profiles. The clients paid $127,198 in commissions and suffered $157,605 in losses.
FINRA’s findings also stated that Szempruch exercised discretion to effect trades in client accounts without the clients providing prior written authorization for him to exercise discretion and without his member firm accepting any of the accounts as discretionary accounts.
Also, FINRA’s findings included that DOUGLAS EDWARD SZEMPRUCH sent emails to prospective clients allegedly making misleading statements concerning investments in a company.
According to an article in Financial Advisor, FINRA alleged Szempruch recommended and executed excessive and unsuitable trades in six client accounts between August of 2014 and June of 2017. He was also charged with exercising discretionary authority without prior written authorization in seven client accounts.
FINRA’s BrokerCheck states that DOUGLAS EDWARD SZEMPRUCH has been in the securities industry for 21 years and has 4 disclosures on his FINRA CRD report. Szempruch has been listed with 6 firms, the most recent listed below:
06/27/2011 - 06/11/2021 AEGIS CAPITAL CORP -  MELVILLE, NY 
If you’ve experienced investment losses due to the actions or recommendations of the former, Aegis Capital Corp of Melville, New York, broker, DOUGLAS EDWARD SZEMPRUCH, contact Soreide Law Group and speak to an experienced securities lawyer at no cost regarding the possible recovery of your financial losses through a FINRA arbitration at:  888-760-6552.
Soreide Law Group works on a contingency fee basis and represents clients nationwide before FINRA.
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