Michael Leahy, former supervisor of Philip Sparacino, formerly with First Standard Financial Company, Barred from Securities Industry in Principal Capacity
Have you lost money with financial advisor Philip Joseph Sparacino from Red Bank, New Jersey? We are continuing to look into allegations made by FINRA (the Financial Industry Regulatory Authority) against Philip Sparacino and his former firm, First Standard Financial Company. His former supervisor, Michael Leahy, was barred from acting in a principal capacity in the securities industry. FINRA alleged that Leahy failed to reasonably supervise Philip Sparacino despite red flags of misconduct.
In November 2019, FINRA barred Philip Sparacino from the securities industry after he failed to respond to an investigation. Sparacino was being investigated regarding allegations that he engaged in unauthorized, unsuitable, and excessive trading (churning).
Philip Sparacino was a registered representative and financial advisor with First Standard Financial Company from July 2014 to October 2019. He worked out of a branch office in Red Bank, New Jersey.
Broker-dealers like First Standard Financial Company have a responsibility to adequately supervise all representatives who are registered through their firm, including investments sold by their registered representatives. Broker-dealers also must take steps to ensure that their financial advisors follow all securities rules and regulations. When broker-dealers fail to adequately supervise their registered representatives, they may be liable for investment losses sustained by customers.
Israels & Neuman PLC is a securities and investment fraud law firm with offices in Denver, Colorado; Seattle, Washington; Phoenix, Arizona and Ann Arbor, Michigan. We represent investors in FINRA arbitration proceedings in all 50 states, including investors in New Jersey and New York. Our attorneys have represented over one thousand investors against many brokerage firms in the past.