Michael Girard DeLuca (also known as Mike DeLuca) of Beaver Falls, Pennsylvania, a stockbroker registered with Fortune Financial Services Inc., has been fined $5,000.00 and suspended for fifteen days from associating with any Financial Industry Regulatory Authority (FINRA) member in any principal capacity based because DeLuca failed to supervise certain representatives’ annuity exchanges and surrenders. Letter of Acceptance, Waiver, and Consent No. 2020065435402 (December 6, 2022).
According to the AWC, from July 2016 to July 2021, while he was associated with Fortune Financial Services Inc., DeLuca failed to reasonably supervise variable annuity surrenders and exchanges recommended by a registered representative. FINRA states that the registered representative falsely represented to customers that annuity exchanges would not cause customers to experience surrender charges. DeLuca failed to investigate the red flags that would have uncovered the false representations from the registered representative. Deluca’s failure to supervise caused customers to collectively incur surrender charges of $71,386.94. Therefore, DeLuca violated FINRA Rules 2010, 2330, and 3110.
FINRA Public Disclosure also reveals that DeLuca was the subject of a customer initiated investment related complaint filed on May 12, 2006, in which the customer requested $33,000.00 in damages based upon allegations that DeLuca made unsuitable recommendations of fixed annuities during the time that DeLuca was associated with USA Financial Securities.
DeLuca has been associated with Fortune Financial Services Inc. in Beaver Falls, PA, as a stockbroker since April 30, 2010, and associated with Prosperity Wealth Management Inc. in Beaver Falls, PA, as an investment advisor representative since January 6, 2020.
