FINRA Barred John Cangialosi Following SW Financial Client Complaints

Soreide Law Group is investigating potential investor claims of sales practice violations due to John Sebastion Cangialosi Jr. [CRD: 3273830, New York, New York], given the disclosures on FINRA BrokerCheck. Evidently, Cangialosi worked for SW Financial from December 10, 2019, to August 16, 2022, and for Worden Capital Management LLC from November 4, 2016, to December 10, 2019. Continue reading to learn more about the disclosures involving Cangialosi.

FINRA Barred Cangialosi For Refusing To Appear For Testimony

Specifically, on March 6, 2024, Financial Industry Regulatory Authority (FINRA) issued Case: 2022075928701 sanctioning John Cangialosi.

Cangialosi submitted a Letter of Acceptance, Waiver, and Consent (AWC) for the purpose of settling the alleged violations. This AWC was in response to allegations that Cangialosi failed to appear for requested testimony in connection with an examination of his outside business activities, violating FINRA Rules 8210 and 2010. Despite multiple requests by FINRA for his testimony on January 3, 2024, and January 25, 2024, Cangialosi, through lawyer, informed FINRA that he would not appear for testimony at any time. Because of this, Cangialosi was barred from associating with any FINRA member in all capacities.

SW Financial Investor Accused John Cangialosi Of Excessive Trading

Also, on March 3, 2023, a SW Financial client filed FINRA Arbitration: 22-02586 about John Cangialosi. Notably, the claim alleged excessive trading, unsuitable recommendations, excessive commissions, and unauthorized trading. Because of this, the investor apparently incurred damages on over-the-counter equities and stocks. For this reason, the client requested $1,012,717 in compensation from SW Financial or Cangialosi. Evidently, this arbitration is pending a resolution.

SW Financial Investor Accused Cangialosi Of Churning, Negligence

Specifically, on December 5, 2022, a SW Financial client filed FINRA Arbitration: 22-02457 about John Cangialosi Notably, the claim alleged unsuitable trading, churning, failure to supervise, and negligence. Because of this, the client allegedly sustained damages on stocks and equities. Therefore, the client requested $510,152.82 in compensation from SW Financial or Cangialosi. This arbitration is also pending a resolution.

Cangialosi Disclosed Unauthorized Trading, Breach Of Contract Allegations By Worden Capital Management LLC Client

Particularly, a client of Worden Capital Management LLC contested John Cangialosi’s sales practices by filing FINRA Arbitration: 22-00347 on March 21, 2022. Allegedly, Cangialosi engaged in churning, charged excessive commissions, conducted unauthorized and unsuitable trades, and breached a contract. It appears that Cangialosi caused the client to sustain damages on OTC equities and stocks. For this reason, the client seeks compensatory relief from Worden Capital Management LLC or Cangialosi in the amount of $1,281,156 in this ongoing matter.

FINRA Suspended John Cangialosi For Unsuitable Trading

Specifically, on August 12, 2021, FINRA issued Case: 2017056432605 sanctioning John Cangialosi. Namely, FINRA alleged that Cangialosi engaged in quantitatively unsuitable trading (excessive trading) in three client accounts. Without admitting or denying the findings, Cangialosi consented to the sanctions and to the entry of findings that he recommended high frequency trading in the accounts, resulting in losses and high trading costs for the clients. The sanctions included a nine-month suspension from all capacities, a fine of $7,500, and restitution of $271,622.

Did You Sustain Losses Because Of Cangialosi?

Did you experience losses because of John Cangialosi? If so, reach out to Soreide Law Group online or at (888) 760-6552 and talk to a securities lawyer about a possible recovery of your investment losses. Soreide Law Group has assisted hundreds of clients throughout the country, works on a contingency fee basis, and advances all costs. Cangialosi and brokerage firm Cangialosi worked for deny accusations of sales practice violations.