Christopher Nicholas Cacace of New York New York a former Chief Compliance Officer of Legend Securities Inc. has been fined $5,000.00 and suspended from associating with any Financial Industry Regulatory Authority (FINRA) member in any capacity based upon consenting to findings that Cacace failed to inform FINRA about customer initiated investment related disputes alleging the firm’s misconduct. Letter of Acceptance Waiver and Consent Nos. 2012030422901, 2015047602801 (Jan. 17, 2017).
According to the AWC, Cacace was apparently responsible for making sure that the firm informed FINRA about any customer complaints which were brought against the firm, as well as ensuring that the firm’s stockbrokers had timely updated disclosures on FINRA Forms U4 and U5. Nevertheless, Cacace reportedly failed to inform FINRA about eighty customer initiated investment related complaints. Consequently, FINRA found that the firm’s conduct was violative of FINRA Rules 2010, 4530(d) and National Association of Securities Dealers (NASD) Rule 3010(e).
Moreover, Cacace reportedly neglected to make sure that four stockbrokers contained timely U4 or U5 disclosures. Supposedly, at least four of the firm’s stockbrokers did not report customer disputes. FINRA found the firm’s activities in this regard to be violative of FINRA Rules 2010 and 1122 as well as FINRA By-Laws Article V Section 2(c).
FINRA Public Disclosure reveals that Legend Securities Inc. has been expelled by FINRA on June 21, 2018 supported by accusations that it did not pay a fine imposed by FINRA in an Extended Hearing Panel Decision containing findings that the firm failed to adequately supervise the firm’s stockbrokers, one of whom churned the stockbrokerage accounts owned by a senior investor. Department of Enforcement v. Legend Securities Inc. Disciplinary Action No. 2015048048801 (Nov. 6, 2017).
