FINRA Suspended Spartan Capital Broker Michael Dugan For Excessive Trading

FINRA suspended securities broker Michael Joseph Dugan (also known as Michael Joe Dugan and Mike Dugan) [CRD: 2824966, Staten Island, New York], based on disclosures on Financial Industry Regulatory Authority (FINRA) BrokerCheck. It appears that Dugan worked for Alexander Capital, L.P. in Staten Island and Red Bank from July 11, 2024 to June 26, 2025. Prior to that, he was with Craft Capital Management LLC (April 17, 2023 – April 16, 2024) and Spartan Capital Securities LLC (March 6, 2017 – May 1, 2023). Continue reading to know more about the disclosures involving this broker.

FINRA Sanctioned Mike Dugan For Excessive Trading

Notably, on April 1, 2025, FINRA issued Case: 2018056490327 sanctioning Michael Dugan. Specifically, Dugan was suspended for seven months in all capacities. Particularly, FINRA alleged that Dugan violated Regulation Best Interest and FINRA Rules 2111 and 2010 by excessively trading two investors’ accounts while registered with Spartan Capital Securities LLC.

Between 2017 and 2022, Dugan allegedly controlled two clients’ accounts and recommended trades that caused high turnover and cost-to-equity ratios, resulting in realized losses. One client sustained over $63,000 in losses and was charged $118,905 in commissions. Another client reportedly lost over $153,000 and was charged $24,312 in commissions. FINRA concluded that Dugan's trading was excessive, unsuitable, and not in the clients’ best interests. Therefore, he violated SEC Rule 15l-1 and FINRA Rules 2010 and 2111.

Michael Dugan Sanctioned By Maryland For Unsuitable Trading

Specifically, Maryland issued Case: 2025-0183 on June 10, 2025, sanctioning Michael Dugan. Allegedly, Dugan excessively traded investor accounts, generating commissions and causing realized losses. So, Dugan was barred from applying or reapplying for registration in Maryland.

Other Client Disputes Involving Dugan Alleged Unauthorized Trading, Misrepresentation

Also, in June 2013, an investor claimed Dugan traded their account without written authorization. The investor sought $93,930.89 in damages. The case closed with no action. Dugan denied the allegation.

Additionally, in September 2007, an investor alleged unauthorized trading, misrepresentation, churning, and unsuitable trading. The claim, which sought $323,000, settled for $60,000. Still, Dugan denied the allegations.

Have You Made Investments Through Financial Advisor / Securities Broker Michael Dugan?

Are you concerned regarding investments you made through Michael Dugan? If so, contact Soreide Law Group at (888) 760-6552 or online and talk to a securities attorney. For years, Soreide Law Group has recovered losses for investors throughout the country. Also, the firm takes investor cases on a contingency fee basis and advances all costs. Dugan and brokerage firms Dugan worked for deny accusations of sales practice violations.