Serge Parakhnevich (also known as Serge Parker) of New York, New York, a stockbroker currently registered with PHX Financial Inc., is the subject of a customer initiated investment related FINRA arbitration claim which was settled for $14,999.00 in damages based upon accusations of breach of fiduciary duty by Parakhnevich concerning over-the-counter equities executed in the customer’s PHX Financial account. Financial Industry Regulatory Authority (FINRA) Arbitration No. 21-01803 (September 15, 2021). According to the claim, the stockbroker engaged in unauthorized and excessive trading of over-the-counter equities, resulting in damages to the customer.
Parakhnevich has been identified in two more customer initiated investment related disputes regarding allegations of his misconduct. FINRA Public Disclosure reveals that a customer filed an investment related complaint regarding Parakhnevich’s activities in which the customer requested $100,000.00 in damages supported by accusations of churning of the customer’s account by Parakhnevich at Aegis Capital Corp. The complaint alleges excessive and unauthorized trades by Parakhnevich concerning real estate investment trusts and over-the-counter equities.
Parakhnevich is also referenced in a customer initiated investment related arbitration claim which was resolved for $90,628.50 in damages founded on allegations of breach of contract and breach of fiduciary duty by Parakhnevich concerning his activities at Aegis Capital Corp. FINRA Arbitration No. 20-00036 (February 4, 2022). According to the claim, unsuitable transactions were executed by Parakhnevich. The claim also contains accusations of breach of fiduciary duty and breach of contract, resulting in damages.
Parakhnevich has been fined $7,5000.00 and suspended for 45 days from associating with any FINRA member in any capacity based upon findings that he engaged in discretionary trading of a customer’s account without having written authorization from the customer. Letter of Acceptance, Waiver, and Consent No. 2019062329901 (August 6, 2020).
According to the AWC, Parakhnevich lacked written authorization from both the customer and the securities broker dealer to make discretionary trades. Parakhnevich still executed 96 trades in an elderly customer’s account at PHX Financial. He also completed a compliance questionnaire for the securities broker dealer, which indicated that he did not handle any customer accounts for purposes of discretionary trading. FINRA determined that Parakhnevich violated FINRA Rules 2010, 3260(b), and National Association of Securities Dealers (NASD) Rule 2510(b).
Parakhnevich has been associated with PHX Financial since April 2, 2015. Except for one, every other firm that Parakhnevich has been associated was expelled by regulators or is otherwise defunct.