Articles Tagged with Network 1 Financial Securities Inc.

According to records kept by The Financial Industry Regulatory Authority (FINRA) financial Broker David Khezri (Khezri), previously associated with Network 1 Financial Securities INC., has at least 2 disclosable events. These events include one customer complaint, one regulatory event, alleging that Khezri recommended unsuitable investments in different investment products including debt securities among other allegations and complaints.

FINRA BrokerCheck shows a final customer complaint on December 23, 2021.

Without admitting or denying the findings, Khezri consented to the sanction and to the entry of findings that he refused to provide documents and information that FINRA requested in connection with its investigation of whether Khezri made unsuitable securities recommendations in customer accounts.

According to BrokerCheck records kept by The Financial Industry Regulatory Authority (FINRA) broker Eric Nicolassy (Nicolassy), currently associated with Network 1 Financial Securities INC., has been subject to at least 2 disclosable events. These events include one customer complaint, one regulatory event. Several of those complaints against Nicolassy  concern allegations of high frequency trading activity also referred to as churning or excessive trading among other securities laws violations.

FINRA BrokerCheck shows a final customer complaint on March 24, 2022.

Without admitting or denying the findings, Nicolassy consented to the sanctions and to the entry of findings that he excessively and unsuitably traded a senior customer\\u2019s account. The findings stated that although the customer\\u2019s account had an average month-end equity of $106,293, Nicolassy executed purchases with a total principal value of $5,138,740 which resulted in annualized turnover ratios of more than 23. Collectively, the trades Nicolassy executed caused the customer to pay $71,409.09 in commissions and $10,410 in trade costs and margin interest, which resulted in an annualized cost-to-equity ratio in excess of 76 percent \\u2013 meaning the customer\\u2019s account would have to grow by more than 76 percent annually just to break even. As a result of Nicolassy\\u2019s unsuitable recommendations, the customer suffered more than $125,000 in losses. The findings also stated that Nicolassy exercised discretion in customers\\u2019 accounts without having obtained prior written authorization from the customers.

According to records kept by The Financial Industry Regulatory Authority (FINRA) financial Broker Michael Capolongo (Capolongo), previously associated with Network 1 Financial Securities INC., has at least 2 disclosable events. These events include one customer complaint, one regulatory event, alleging that Capolongo recommended unsuitable investments in different investment products including debt securities among other allegations and complaints.

FINRA BrokerCheck shows a final customer complaint on October 06, 2023.

Respondent Capolongo failed to respond to FINRA requests for information.

According to records kept by The Financial Industry Regulatory Authority (FINRA) financial Broker Sean Mccabe (Mccabe), currently associated with Network 1 Financial Securities INC., has at least one disclosable event. These events include one customer complaint, alleging that Mccabe recommended unsuitable investments in different investment products including debt securities among other allegations and complaints.

FINRA BrokerCheck shows a pending customer complaint with a damage request of $522,500.00 on September 08, 2025.

Excessive Trading, Breach of Fiduciary Duty, Negligence, Unsuitability

According to records kept by The Financial Industry Regulatory Authority (FINRA) financial Broker Jonathan Ebel (Ebel), currently associated with Network 1 Financial Securities INC., has at least 2 disclosable events. These events include 2 customer complaints, alleging that Ebel recommended unsuitable investments in different investment products including debt securities among other allegations and complaints.

FINRA BrokerCheck shows a settled customer complaint with a damage request of $100,000.00 on June 09, 2022.

Client alleges unsuitability from 2016-1028.

According to records kept by The Financial Industry Regulatory Authority (FINRA) financial Broker Kumail Abbas (Abbas), currently associated with Network 1 Financial Securities INC., has at least 2 disclosable events. These events include 2 customer complaints, alleging that Abbas recommended unsuitable investments in different investment products including debt securities among other allegations and complaints.

FINRA BrokerCheck shows a settled customer complaint with a damage request of $100,000.00 on June 09, 2022.

Client alleges unsuitability from 2016-2018.

According to records kept by The Financial Industry Regulatory Authority (FINRA) financial Broker Gregory Melendez (Melendez), currently associated with Network 1 Financial Securities INC., has at least one disclosable event. These events include one customer complaint, alleging that Melendez recommended unsuitable investments in different investment products including debt securities among other allegations and complaints.

FINRA BrokerCheck shows a settled customer complaint with a damage request of $50,000.00 on June 10, 2022.

Client alleges unsuitable recommendations.

According to records kept by The Financial Industry Regulatory Authority (FINRA) financial Broker Eric Baron (Baron), previously associated with Network 1 Financial Securities INC., has at least one disclosable event. These events include one customer complaint, alleging that Baron recommended unsuitable investments in different investment products including debt securities among other allegations and complaints.

FINRA BrokerCheck shows a award / judgment customer complaint with a damage request of $10,900,000.00 on October 10, 2022.

Eric Baron was a subject of the customer’s complaint against his member firm that asserted the following causes of action: unsuitability, breach of fiduciary duty, breach of contract, negligence, unjust enrichment, strict liability, and failure to supervise.

According to BrokerCheck records kept by The Financial Industry Regulatory Authority (FINRA) broker Charles Malico (Malico), previously associated with Network 1 Financial Securities INC., has been subject to at least 3 disclosable events. These events include 2 customer complaints, one regulatory event. Several of those complaints against Malico  concern allegations of high frequency trading activity also referred to as churning or excessive trading among other securities laws violations.

FINRA BrokerCheck shows a final customer complaint on October 11, 2022.

Without admitting or denying the findings, Malico consented to the sanctions and to the entry of findings that he willfully violated the Best Interest Obligation under Rule 15l-1 of the Securities Exchange Act of 1934 (Regulation Best Interest or Reg BI) by recommending a series of transactions in a retail customer’s account that was excessive in light of the customer’s investment profile. The findings stated that the trades that Malico recommended in the customer’s account resulted in an annualized cost-to-equity ratio exceeding 158 percent – meaning that the customer’s account would have had to grow by more than 158 percent annually just to break even. Malico’s recommendations caused the customer to pay more than $54,000 in commissions and other trading costs, and made it virtually impossible for the customer to realize a profit. In fact, the customer lost more than $17,500 as a result of Malico’s recommendations.

According to records kept by The Financial Industry Regulatory Authority (FINRA) financial Broker Sean Mccabe (Mccabe), currently associated with Network 1 Financial Securities INC., has at least one disclosable event. These events include one customer complaint, alleging that Mccabe recommended unsuitable investments in different investment products including debt securities among other allegations and complaints.

FINRA BrokerCheck shows a pending customer complaint with a damage request of $162,000.00 on July 11, 2025.

Misrepresentation, omission of facts, negligence

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