Network 1 Securities Logo
Breach Of Fiduciary Duty

Patrick Nicholas Teutonico of Seaford New York a stockbroker registered with Network 1 Financial Securities Inc. is the subject of a customer initiated investment related arbitration claim where the customer sought $125,000.00 in damages based upon accusations that (1) private placements lacked appropriate supervision from the securities broker dealerand (2) and that Teutonico breached his fiduciary in connection with an initial public offering. Financial Industry Regulatory Authority (FINRA) Arbitration No. 19-02809 (Sept. 18, 2019).

FINRA Public Disclosure confirms that Teutonico has been identified in seven more customer initiated investment related disputes alleging that he engaged in misconduct during the time that he was employed by securities broker dealers including Network 1 and Obsidian Financial Group LLC. In particular, a customer initiated investment related arbitration claim concerning Teutonico’s activities resulted in the customer being awarded $152,298.83 in compensatory damages based on Teutonico’s false statements regarding investments, breach of contract, breach of a fiduciary duty, negligence, unauthorized and unsuitable equities purchases, and churning of the customer’s account. FINRA Arbitration No. 15-00180 (Apr. 7, 2016).

Another customer initiated investment related arbitration claim involving Teutonico’s conduct was settled for $35,000.00 in damages based upon allegations that when Teutonico was associated with Network 1 Financial, common or preferred stock trades were effected in the customer’s account on an excessive basis by the stockbroker. FINRA Arbitration No. 15-03128 (Jan. 19, 2017).

Teutonico has also been identified in a customer initiated investment related arbitration claim where the customer was awarded $169,354.00 in compensatory damages founded on Teutonico and Network 1 being found liable on the customer’s claims which included that transactions failed to comply with securities laws and were not adequately supervised by the securities broker dealer, a contract pertaining to the customer’s investments was breached, the customer’s account had been negligently administered, a fiduciary duty was breached, misrepresentations were made about investments, the customer’s account had been churned, investments were purchased or sold without the customer’s permission, trades were unsuitable given the customer’s investment profile, and the customer was defrauded by investing through Teutonico at Network 1. FINRA Arbitration No. 18-02714 (Sept. 6, 2019).

FINRA Public Disclosure reveals that Teutonico has also been fined $5,000.00 and suspended from associating with any FINRA member in any capacity based upon accusations that trades were effected by Teutonico without a customer’s permission when the stockbroker was associated with Obsidian Financial Group. Letter of Acceptance Waiver and Consent No. 2012030774502 (Mar. 27, 2015).

Teutonico had been employed by Network 1 Financial Securities Inc. since December 7, 2012.