Thomas Baumann Charged By Regulator With Obstructing Investigation

Financial Industry Regulatory Authority (FINRA) charged securities broker Thomas James Baumann [CRD: 5254392, New York, New York] with violating FINRA rules on hindering investigations, according to disclosures on BrokerCheck. Not only that, but Spartan Capital Securities LLC investors complained about his sales practices. Evidently, Thomas Baumann worked for Spartan Capital Securities from January 22, 2013, to March 2, 2022. The following information concerns Thomas Baumann’s disclosures.

FINRA Charged Baumann With Refusing To Comply

Evidently, on April 10, 2024, the Financial Industry Regulatory Authority (FINRA) initiated Complaint: 2018056490310 against Thomas Baumann. Notably, FINRA alleged that Baumann failed to provide documents and information requested by FINRA during its investigation into whether Baumann engaged in unauthorized trading in a Spartan Capital Securities LLC client’s account between 2021 and 2022. FINRA’s Department of Enforcement has charged Thomas Baumann with failing to comply with FINRA Rule 8210, which requires securities brokers to provide documents and information upon request during investigations.

Spartan terminated Baumann on March 2, 2022. On July 22, 2022, Spartan filed a Form U5, notifying FINRA of a client complaint alleging unauthorized trading in the client's account. On July 20, 2023, FINRA staff sent Baumann a letter requesting documents and information related to the investigation. The request included evidence that Baumann contacted the client and an explanation of whether Baumann executed any unauthorized trades in the client’s account. Baumann supposedly did not respond to this request.

FINRA allegedly made multiple attempts to contact Baumann, sending letters by mail and email. Despite these efforts, Baumann supposedly did not respond to any of FINRA’s requests. Department of Enforcement seeks sanctions which could include expelling Baumann from the securities industry.

Spartan Capital Securities Investor Accused Thomas Baumann Of Unauthorized Trading

Specifically, on May 12, 2022, a Spartan Capital Securities client filed a complaint about Thomas Baumann. Supposedly, Baumann engaged in unauthorized trading. Because of this, the client allegedly sustained damages on stocks. For this reason, the client requested $24,000 in compensation from Spartan Capital Securities or Baumann. However, the securities firm denied this dispute.

Baumann Disclosed Breach Of Fiduciary Duty Allegations By Client

Evidently, a client of Spartan Capital Securities contested Thomas Baumann’s sales practices by filing FINRA Arbitration No. 20-01004. Allegedly, Baumann was negligent, engaged in unsuitable and unauthorized transactions, breached a contract, made misrepresentations, and breached his fiduciary duty. Therefore, Spartan Capital Securities opted to settle the matter on October 27, 2020, by compensating the client in the amount of $9,999.99.

Investor Accused Thomas Baumann Of Misrepresentation

Particularly, a Spartan Capital Securities client filed FINRA Arbitration No. 19-03740 about Thomas Baumann. Mainly, the client alleged that Baumann made misrepresentations and made unsuitable recommendations. As a result, on February 22, 2022, Spartan Capital Securities settled this matter by paying the client $18,000 in damages.

Thomas Baumann Disclosed Churning Allegations By Spartan Capital Securities Client

Also, a client of Spartan Capital Securities contested Thomas Baumann’s sales practices by filing FINRA Arbitration No. 18-03407. Allegedly, Baumann made unsuitable transactions, made misrepresentations about stocks, and engaged in churning. For this reason, Spartan Capital Securities opted to settle the matter on December 16, 2021, by compensating the client in the amount of $55,000.

Did You Sustain Losses Because Of Baumann?

Did you experience losses due to financial advisor / securities broker Thomas Baumann? If you have, reach out to Soreide Law Group online or at (888) 760-6552 and speak with a securities attorney regarding a potential recovery. Soreide Law Group has obtained recoveries for many investors throughout the United States, works on a contingency fee basis, and advances all costs. Baumann and brokerage firms Baumann worked for deny accusations of sales practice violations.