Securities Arbitration Investment Fraud Lawyers » Investment and Regulatory News » FINRA Sanctions Another Spartan Capital Stockbroker For Excessive Trading

dead Wall Street Bull

Terry Tzagarakis (also known as Terry Rakis), of Bay Ridge, New York, a stockbroker registered with Spartan Capital Securities LLC, has been fined $10,000.00 and suspended for twelve months from associating with any Financial Industry Regulatory Authority (FINRA) member because Tzagarakis engaged in excessive trading. Letter of Acceptance, Waiver, and Consent No. 2018056490305 (October 14, 2022).

According to the AWC, from October 2015 through December 2019, during the time that he was associated with Spartan Capital Securities LLC, Tzagarakis engaged in excessive trading in three customer accounts. Tzagarakis’ trading resulted in high cost-to-equity ratios (67 percent to 175 percent) and high turnover rates (17.3 to 33.4). Customers suffered a collective $278,964.00 in trading costs and $842,240.00 in realized losses. Therefore, Tzagarakis violated FINRA Rules 2010 and 2111.

FINRA Public Disclosure shows that Tzagarakis is referenced in eight customer initiated investment related disputes concerning Tzagarakis’ conduct while associated with securities broker dealers, including Spartan Capital Securities LLC. On September 25, 2013, a customer initiated investment related complaint involving Tzagarakis’ conduct was settled for $6,000.00 in damages based upon allegations that Tzagarakis inappropriately used margin in the customer’s account.

On September 27, 2018, a customer filed an investment related FINRA securities arbitration claim involving Tzagarakis’ conduct in which the customer requested $6,645,956.00 in damages based upon allegations that Tzagarakis churned the customer’s account and made unsuitable recommendations of stocks. FINRA Arbitration No. 18-03407.

Tzagarakis is also referenced in a FINRA securities arbitration claim in which the customer requested $1,240,169.28 in damages based upon allegations that Tzagarakis churned the customer’s account, made unsuitable recommendations, breached his fiduciary duties, made misrepresentations of material fact, engaged in unauthorized trading, and failed to supervise certain registered representatives in connection with the sale of private placements. FINRA Arbitration No. 21-02950 (December 10, 2021).

On December 16, 2021, a FINRA securities arbitration claim involving Tzagarakis’ conduct was settled for $30,000.00 in damages based upon allegations that Tzagarakis churned the customer’s account and made unsuitable recommendations of over-the-counter equities. FINRA Arbitration No. 18-03407.

Tzagarakis was associated with Spartan Capital Securities LLC in New York, NY, from January of 2013 to April of 2020, and associated with Worden Capital Management LLC in New York, NY, from March of 2020 to May of 2020.