Gary Carl Mastrodonato, of Oriental, North Carolina, a stockbroker formerly registered with Kalos Capital and Madison Avenue Securities LLC, is the subject of a customer initiated investment related FINRA securities arbitration claim in which the customer requested compensatory damages based upon allegations of unsuitable recommendations of variable annuities, real estate securities, private placements, and other alternative investments when Mastrodonato was associated with Kalos Capital and Madison Avenue Securities. Financial Industry Regulatory Authority (FINRA) Arbitration No. 21-02468 (October 5, 2021).
Mastrodonato has been identified in three more customer initiated investment related disputes regarding accusations of his misconduct during the period that he was associated with Kalos Capital. FINRA Public Disclosure shows that a customer filed an investment related complaint regarding Mastrodonato’s conduct where the customer sought $59,000.00 in damages founded on allegations of churning by Mastrodonato while he was employed by Kalos Capital.
On July 23, 2019, another customer initiated investment related arbitration claim concerning Mastrodonato’s conduct was resolved for $75,000.00 in damages supported by accusations of negligence and unsuitable trading concerning alternative investments during the time that Mastrodonato was registered with Kalos Capital. FINRA Arbitration No. 19-00681. The claim also contains allegations of breach of fiduciary duty concerning variable annuity and alternative investment transactions.
Mastrodonato is also referenced in a customer initiated investment related arbitration claim in which the customer requested compensatory damages based upon accusations of mismanagement of their account by Mastrodonato and Kalos Capital. FINRA Arbitration No. 21-02468 (September 29, 2021). According to the claim, the customer incurred losses on Real Estate Investment Trusts or REITs and variable annuities.
FINRA Public Disclosure also shows that Mastrodonato has been fined $10,000.00 and suspended from associating with any FINRA member in any capacity according to an Order Accepting Offer of Settlement containing findings of Mastrodonato’s unauthorized variable annuity transactions when he was associated with Securities America. According to the Order, annuity applications were submitted to the issuer directly by Mastrodonato. Mastrodonato bypassed Securities America’s procedures which called on those annuity exchanges to be reviewed by supervisors. He violated FINRA Rule 2010.
Mastrodonato has also been employed by Change Path LLC, who permitted him to resign on March 25, 2019, because of a customer initiated arbitration claim.
Mastrodonato was registered with Kalos Capital between October 21, 2014, and August 24, 2017, and Madison Avenue Securities from August 24, 2017, and January 11, 2019.