Michael John Dell’ Olio, a broker with North Atlantic Securities was permanently barred from association with Financial Industry Regulatory Association finding that Dell `Olio failed to cooperate with an investigation into potential violations of federal securities laws. Department of Enforcement v. Michael John Dell’ Olio, No. 2012034939302 (May 4, 2015).
FINRA’s Department of Enforcement had filed a complaint on December 16, 2014, claiming that Dell’ Olio had twice failed to cooperate with a scheduled testimony, violating Rule 8210 and 2010. The Decision, per Rule 9215(f) and 9269(a), came from Olio’s failure to answer a complaint which was filed subsequent to Olio’s failure to comply.
The Decision indicated that in June, 2011, the State of Maine’s Department of Professional and Financial Regulation launched an investigation into Olio’s violations of securities regulations and laws. Subsequently, Maine’s Office of Securities had revoked Dell’ Olio’s Maine license, finding that Dell’ Olio engaged in unethical and dishonest practices which had included making false statements, borrowing from a client, and forging documents. FINRA became aware of Dell’ Olio’s conduct upon his former firm filing a Form U6 regarding their knowledge of Dell’ Olio’s Maine registration becoming revoked.
FINRA registered representatives like Dell’ Olio who do not cooperate with FINRA’s investigations often face a permanent bar from practicing in the securities industry as such lack of cooperation violates FINRA’s Rule 8210 – requiring that no member or person shall fail to provide information or testimony or permit an inspection and copying of books, records, or accounts pursuant to the rule. FINRA typically accompanies a Rule 8210 violation with a Rule 2010 violation when individuals, according to FINRA, do not appear to observe high standards for commercial honor and just and equitable principles of trade.
Public disclosure records via FINRA’s BrokerCheck reveal that on June 10, 2011, Maine’s Office of Securities alleged that Dell `Olio engaged in dishonest, unlawful, and unethical practices by borrowing money from a client under circumstances where the broker-dealer’s written supervisory procedures did not permit borrowing in violation of Maine’s Office of Securities Rule Ch. 504, NASD Rule 2370; by borrowing money from a client in violation of Maine’s Office of Securities Ch. 515; borrowing money for the express purpose of purchasing a building and then using a significant portion of the proceeds for other purposes; creating and submitting letters of authorization bearing false signatures, and making false statements to Maine’s Office of Securities’ staff.
Firms and individuals, not surprisingly, are prohibited from unauthorized use of customer funds, borrowing of a customer’s securities or funds, forgery, non-disclosures or misstatements of material facts, and various deceptions and manipulations. Such conduct can also be found to violate criminal and other civil laws, and be subject to sanction from the federal and state government bodies.
Securities brokerage firms have a duty to supervise their brokers and the sales practices of their brokers, and to review customer statements for, among other things, evidence of suitability, unauthorized trading, or excessive activity.
Guiliano Law Group
If you have been the victim of securities fraud and you have a complaint, you should consult with an attorney. The practice of Nicholas J. Guiliano, Esq., and The Guiliano Law Group, P.C., is limited to the representation of investors in claims for fraud in connection with the sale of securities, the sale or recommendation of excessively risky or unsuitable securities, breach of fiduciary duty, and the failure to supervise. We accept representation on a contingent fee basis, meaning there is no cost unless we make a recovery for you, and there is never any charge for a consultation or an evaluation of your claim. For more information contact us at (877) SEC-ATTY.
