According to BrokerCheck records kept by The Financial Industry Regulatory Authority (FINRA) broker Philip Sparacino (Sparacino) has been subject to at least two customer complaints, three debt liens or judgements, and one criminal matter during his career. Sparacino is currently employed by First Standard Financial Company LLC (First Standard Financial) but has worked for a total of six firms during his 11 year career. One of the customer complaints against Sparacino concern allegations of high frequency trading activity also referred to as churning and unsuitable investments.
In December 2018 a customer filed a complaint alleging that Sparacino violated the securities laws including churning and unsuitable trading causing $90,198 in damages. The claim is currently pending.
In September 2016 a customer filed a complaint alleging that Sparacino violated the securities laws including unsuitable trading, breach of fiduciary duty, and unauthorized trading causing $38,084 in damages. The claim is currently pending.
Sparacino also has three debts including a $3,774 lien from March 2017. The fact that a broker cannot manage his own personal finances is material information for a client to consider. In addition, the types of products clients have alleged were unsuitable are high commission products that may be recommended to generate high profits for the advisor at the expense of the client.