Norman Stanley Batansky of Jupiter Florida a stockbroker formerly employed by LPL Financial LLC has been fined $7,500.00 and suspended for one month from associating with any Financial Industry Regulatory Authority (FINRA) member in any capacity based upon findings that Batansky engaged in private securities transactions and concealed his securities-related correspondence. Letter of Acceptance Waiver and Consent No. 2019062003101 (Oct. 23, 2020).
According to the AWC, on October 26, 2016, an LPL customer was forwarded an email from Batansky in regard to an investment opportunity in a company serving the medical device industry. Batansky arranged for the customer’s purchase of convertible notes in this company after the customer had been provided an investor overview, term sheet and subscription agreement. A placement agent and Batansky’s assistant helped secure the purchase. The stockbroker prepared a $50,000.00 transfer from the customer’s account as part of the funding process.
Batansky was provided with a compliance questionnaire from LPL in 2017. The stockbroker claimed in his submission of this questionnaire that he was not involved in any securities transactions away from LPL. Batansky’s conduct was violative of FINRA Rules 2010 and 3280.
The AWC also stated that on 32 occasions from October of 2016 to September of 2018, emails were sent by Batansky through private channels where LPL was not apprised of the content. These communications involved marketing materials relating to investment opportunities for customers of LPL. Batansky communicated with one customer regarding their account and communicated with another customer in regard to a private securities transaction that was not placed on LPL’s records and books. Batansky violated FINRA Rules 2010 and 4511 in this respect.
Batansky has been identified in four customer initiated investment related disputes concerning accusations of his violative actions while employed by Donaldson Lufkin Jenrette Securities Corporation, Drexel Burnham Lambert Incorporated, PMG Capital and RBC Capital Markets. FINRA Public Disclosure confirms that a customer filed an investment related complaint regarding Batansky’s activities in which the customer was awarded $6,500.00 in compensatory damages supported by findings of unsuitable trades by the stockbroker at Drexel Burnham Lambert.
Another customer initiated investment related complaint involving Batansky’s conduct was resolved for $60,000.00 in damages founded on allegations that transactions executed in the Donaldson Lufkin Jenrette customer’s account were not suitable given the customer’s objectives for investing. The complaint also alleges that transactions were not authorized by the customer.
Batansky is also referenced in a customer initiated investment related written complaint which was settled for $9,500.00 in damages based upon accusations that the PMG customer’s account had been mishandled because of stop orders not being executed according to the customer’s instructions. Another customer filed an investment related complaint in regard to Batansky’s activities where the customer sought more than $5,000.00 in damages supported by allegations of poor handling of accounts by the stockbroker during the time that he was associated with RBC Capital Markets.
Batansky’s registration with LPL has been terminated as of March 19, 2019. Since February 7, 2019, he has been a stockbroker registered with Peak Brokerage Services LLC and an investment adviser representative of Blackridge Asset Management LLC.