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Tradespot Markets, Inc. (f/k/a Beloyan Investment Securities) Fined and Sanctioned
Posted by: Robert Rex
December 28, 2011

On December 20, 2011, the National Adjudicatory Council affirmed a FINRA hearing panels' ruling that found that Mark B. Beloyan of Tradespot Markets, Inc. in Davie, FL, emailed  stock recommendations that were not fair and balanced, did not provide a sound basis for evaluating the recommended stock and omitted material information. The Hearing Panel fined Beloyan and Tradespot $13,500 and suspended Boylan for 10 business days.

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Merrill Lynch Fined $1 Million for San Antonio Texas Ponzi Scheme
Posted by: Robert Rex
December 27, 2011

FINRA fined Merrill $1 million for supervisory failures that allowed broker Bruce Hammond to raise over a million dollars which was used in a Ponzi scheme. FINRA Chief of Enforcement Brad Bennett said "Firms must ensure their supervisory systems are designed to properly monitor employee accounts for potential misconduct. Merrill Lynch's inadequate supervisory system and the firm's excessive reliance on employee self-reporting enabled Hammonds to facilitate his Ponzi scheme to the detriment of investors". Merrill reimbursed investors who were harmed by Hammond's actions.

If you have questions about the handling of your accounts  or your broker, please do not hesitate to call 561 391 1900 or visit our website at www.dmrslaw.com .

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FINRA DISCIPLINARY ACTIONS FOR DECEMBER 2011 (FLA ONLY)
Posted by: Robert Rex
December 27, 2011

For the complete listing of FINRA Disciplinary actions, visit their website at:

http://www.finra.org/web/groups/industry/@ip/@enf/@da/documents/disciplinaryactions/p125269.pdf

Here is a summary of Florida related actions for December 2011

Dawson James Securities, Inc (Boca Raton) Albert James Poliak (Parkland) Douglas Fulton Kaiser (Deerfield)-submitted Offers of Settlement. Firm was fined $90,000 and censured. Poliak and Kaiser were each fined $30,000 and suspended from association with any FINRA broker-dealer for a year. FINRA found that the firm and the individuals violated the Customer Protection Rule and that the firm violated the net capital rules.

 ERIC LAWRENCE BLOOM (Boca Raton) - submitted to a A Letter of Acceptance, Waiver and Consent in which he is barred from association with any FINRA member in any capacity. Bloom misrepresented the terms of an offering's subscription agreement leading the investor to believe that the proceeds would be used to fund the company's ventures in technology risk management. In reality, the funds were used to purchase shares of stock from an individual. In addition to many other significant facts, Bloom failed to disclose the the significant regulatory history of the companys to prospective investors.

Joseph John Giuliano (Boca Raton)- submitted a Letter of Acceptance, Waiver and Consent in which he is barred from association with any FINRA member in any capacity. According to FINRA, Giuliano misused funds deposited with his firm without consent or authorization.

Alan David Goddard, Jr. (Boca Raton) - submitted a Letter of Acceptance, Waiver and Consent in which he is barred from association with any FINRA member for 45 days and was fined $10,000. He agreed to FINRA's findings that he was actively engaged in a member firm's investment banking and securities business without proper registration.

Alan Stuart Pattee (Lake Worth)- submitted a Letter of Acceptance, Waiver and Consent in which he is barred from association with any FINRA member in any capacity. Pattee consented to the entry of findings that he forged homeowner signatures on uniform mitigation verification forms in connection with homeowners insurance.

Evan Taber (Plantation) -barred from association with any FINRA member in any capacity. The sanction was based on findings that Taber intentionally converted or misappropriated customer funds. FINRA found that Taber did not make any investment with the customer funds but used them for personal expenses.

Joseph Alphonse Vitale (Boca Raton) - was barred from association with any FINRA member in any capacity. The sanction was based upon findings that Vitale failed to respond to FINRA requests for information.

The following have been barred by FINRA  for failure to provide information or keep current information pursuant to FINRA Rule 9552(h).

Francisco ALberto Diaz (Miami)

Cynthia Duane Franke (Hallandale)

Robert Rodriguez (Miami)

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