Ronald Terrence Molo of Joliet, Illinois, a stockbroker formerly registered with Edward Jones, has been charged by Securities and Exchange Commission (SEC) with stealing approximately $800,000.00 from customers, at least one of which included an Edward Jones customer. SEC v. Ronald T. Molo, Civil Action No. 21-cv-06286 (November 23, 2021).
According to SEC’s Complaint, between January 2019 and November 2020, Molo stole from investors, and at least one of them held accounts at Edward Jones. The complaint alleges that Molo steered investors towards relocating their money to tax-free bonds. Allegedly, investors’ funds were moved into Molo’s own account instead. The tax-free bonds did not exist, according to the regulator. Molo paid for home renovations, automobile purchases, mortgage payments, and other personal expenses with investor funds. SEC alleges that Molo sent fake interest payments to customers to conceal his fraud.
SEC charges Molo with violating Securities Exchange Act of 1934 Section 10(b), SEC Rule 10b-5, and Investment Advisers Act Sections 206(1) and 206(2). Molo has also been charged by United States Attorney’s Office with six counts of wire fraud in connection with his scheme.
Molo has been barred from associating with any Financial Industry Regulatory Authority (FINRA) member in any capacity because he allegedly failed to respond to FINRA’s request for information. Case No. 2021071702901 (January 3, 2022). Molo was issued a Notice of Suspension on September 30, 2021, and a Suspension from Association letter on October 25, 2021. Molo failed to cooperate with FINRA or request termination of the suspension by a January 2, 2022 deadline. Accordingly, he was automatically barred by the regulator.
Molo has been identified in five customer initiated investment related disputes concerning his conduct while registered with securities broker dealers, including Edward Jones. FINRA Public Disclosure shows that a customer filed an investment related complaint involving Molo’s activities where the customer sought $5,274.00 in damages resulting from Molo’s representations in connection with the sale and purchase of mutual funds.
On February 29, 2020, another complaint regarding Molo’s conduct was resolved for $16,000.00 in damages based upon allegations that Molo made unauthorized trades in the customer’s Edward Jones account. According to the complaint, Molo also omitted information to the customer concerning the conversion of a variable universal life policy to a modified endowment contract.
A different customer initiated investment related complaint concerning Molo’s activities was settled for $282,237.50 in damages on August 5, 2021, because Molo allegedly stole the customer’s funds when he wired funds from their account to a bank account owned by Molo’s spouse. The complaint alleges that Molo misled the customer about the use of their funds for investments.
Molo is also referenced in a written complaint which was resolved for $329,644.85 on August 5, 2021, based upon accusations of Molo’s theft of the customer’s funds while Molo was registered with Edward Jones.
On August 5, 2021, a different customer initiated investment related complaint involving Molo’s conduct was settled for $263,119.54 in damages based upon allegations that Molo misappropriated funds from customers who believed that Molo would use their funds to make investments.
Molo was registered with Edward Jones between May 15, 2001, and June 23, 2021.
