Anthony Matthew Cottone of Boca Raton Florida a stockbroker formerly registered with Landolt Securities Inc. is referenced in a customer initiated investment related arbitration claim where the customer requested $260,000.00 in damages supported by allegations of the customer’s assets being overconcentrated in private placements and allegations of transactions not being supervised by Landolt Securities. Financial Industry Regulatory Authority (FINRA) Arbitration No. 20-02371 (July 31, 2020).
On January 12, 2022, the US Securities and Exchange Commission obtained a judgment permanently enjoining Anthony M. Cottone from violations of the antifraud and other provisions of the federal securities laws. The SEC filed a complaint on January 10, 2022 charging Cottone with fraudulently operating a private fund.
According to the SEC’s Complaint,
From March 23, 2017 to July 31, 2017, Cottone and his now defunct unregistered investment adviser raised approximately $2.76 million from 11 investors in connection with the sale of preferred interests in a private fund through false and misleading representations and material omissions. The complaint alleges Cottone misappropriated at least $134,000 from the fund. The complaint further alleges that Cottone failed to disclose to investors that he used fund assets to pay investors in a prior unrelated securities offering, that he used fund assets to pay his unregistered investment adviser, that he received undisclosed commission payments out of fund assets, that he used fund assets to operate a start-up car dealership he formed and managed, and that he has a prior criminal conviction. In addition to his alleged misrepresentations and omissions, the complaint alleges Cottone sold securities in unregistered transactions and acted as an unregistered broker.
FINRA Public Disclosure additionally reveals that Cottone has been the subject of two disciplinary actions initiated by securities regulators. On December 28, 2017, he was issued a Notice of Intent to Deny Application for Registration from Florida Office of Financial Regulation based upon accusations of Cottone having failed to be forthcoming with FOFR when attempting to become registered in the state as a stockbroker of WealthForge Securities LLC.
Cottone has also been barred from associating with any Financial Industry Regulatory Authority (FINRA) member in any capacity founded on allegations that he neglected to respond to FINRA’s requests while under an investigation or regulatory inquiry. Case No. 2018059266101 (Dec. 10, 2018). According to FINRA, Cottone was issued a Notice of Suspension letter on September 5, 2018 and then a Suspension from Association letter on December 10, 2018. He was obligated to fulfill FINRA’s requests no later than December 9, 2018 to resolve the suspension. Cottone neglected to request that his suspension be terminated or otherwise failed to cooperate with FINRA to have his suspension lifted.
Cottone has also been twice terminated by securities broker dealer employers. He was terminated by AXA Advisors LLC during the time that he was internally investigated for using Unsuitable sales and advertising materials. On January 12, 2017, he was discharged by Wealth Forge Securities supported by accusations that he did not make required regulatory disclosures.
Since May 24, 2012, Cottone has been associated with three securities broker dealers, two of which have been expelled by securities regulators for violation of federal securities laws or are otherwise defunct.
