FINRA Bars MICHAEL CASTILLERO After Unauthorized Trading Allegations Surface

Michael Alejandro Castillero (CRD#: 4583917, New York, New York) is an ex Alexander Capital, L.P. securities broker who the Financial Industry Regulatory Authority (“FINRA”) barred for refusing to cooperate while under investigation. Specifically, Castillero submitted a Letter of Acceptance, Waiver and Consent (“AWC”) #: 2018058649501 on January 15, 2019, which FINRA accepted on February 6, 2019. The AWC stated that Castillero violated FINRA Rules 8210 and 2010.
Evidently, FINRA investigated Castillero for numerous reasons. First, allegedly, Castillero engaged in unauthorized trading in a customer’s account. Secondly, Castillero possibly tried to settle a customer’s complaint without Alexander Capital’s knowledge. Finally, Castillero allegedly made false statements to FINRA staff.
Evidently, FINRA wielded its power under Rule 8210 to require that Castillero testify about the allegations of his sales practice violations and regulatory misconduct. Accordingly, FINRA corresponded with Castillero’s attorney on December 10, 2018 to request Castillero’s appearance. Subsequently, Castillero’s attorney relayed that Castillero would not appear and testify for FINRA. Because of this, FINRA found Castillero in violation in FINRA Rules 8210 and 2010.

Complaints Lodged Against Alexander Capital Broker Michael Alejandro Castillero

A number of Alexander Capital, LP customers filed disputes about Castillero’s sales practices, according to FINRA BrokerCheck. For example, here is a summary of some of the disputes involving Castillero:

November 28, 2018 Arbitration Alleging Alejandro Castillero’s Churning Of Customer’s Account

A customer of Alexander Capital brought FINRA Arbitration #18-03984 on November 28, 2018. This Arbitration involves allegations of Castillero’s sales practice violations from 2012 to 2016. Primarily, Castillero misrepresented OTC equities sold to the customer. Additionally, the customer claimed that Castillero made unsuitable OTC equities trades. Not only that, but allegedly Castillero churned the Alexander Capital, LP customer’s investments. Because of this, the customer demanded $231,758.14 in damages. However, this complaint is unresolved.

May 1, 2018 Complaint Alleging Alejandro Castillero’s Unauthorized Trading

An Alexander Capital investor disputed Castillero’s sales practices in filing a complaint on May 1, 2018. Supposedly, Castillero made trades in the customer’s account without the customer’s permission. Subsequently, according to the customer, Castillero claimed he would pay the customer to settle the dispute; however, he never did. Accordingly, the customer alleged $52,900 in this ongoing matter.

July 12, 2017 Complaint Involving Alejandro Castillero’s Alleged Misrepresentation

A customer of Alexander Capital brought a July 12, 2017 complaint regarding Castillero. Specifically, the complaint alleges Castillero made or facilitated unsuitable stock trades in the customer’s account. Additionally, the customer alleged misrepresentation of OTC equities and stocks; Castillero seemingly made misstatements to the customer about those investments. Moreover, the customer indicated that Castillero failed to disclose important information when the customer purchased the investments. Because of this, Alexander Capital agreed to pay the customer $25,000 to put the claim to rest. However, the firm did not admit liability.

July 19, 2016 Complaint Concerning Allegations Of Alejandro Castillero’s Negligence, Unsuitable Trading

Evidently, Castillero also serviced the account of an Alexander Capital customer who complained about his activities. The claim, brought July 19, 2016, alleges that Castillero made unsuitable and unauthorized trades. Also, the customer indicated that Castillero’s negligence caused the customer to incur losses. Furthermore, Castillero allegedly violated a fiduciary duty that was owed to the customer. Eventually, without admitting liability, Alexander Capital compensated the customer to the tune of $25,000 on November 11, 2016.

Investors who have experienced losses by investing with Alexander Capital broker Michael Alejando Castillero should contact Soreide Law Group at (888) 760-6552 and speak with experienced counsel 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 misconduct of brokers and brokerage firms.