Michael Christopher Venturino (CRD #5872439, Dix Hills, New York)

April 11, 2024 – Venturino appealed an OHO decision to the National Adjudicatory Counsel (NAC). Venturino was barred from association with any FINRA member in all capacities and ordered to pay disgorgement of ill-gotten gains to FINRA in the amount of $171,419, plus interest. The sanctions were based on the findings that Venturino churned six customer accounts with scienter in willful violation of Exchange Act Section 10(b), Exchange Act Rule 10b-5, and FINRA Rules 2020 and 2010. The findings stated that the costs Venturino charged and the resulting payout credits he received support the conclusion that Venturino pursued profit for himself, not his customers. It is also evident from Venturino’s practice of alternating riskless principal trades for purchases for which he usually assessed large markups, and agency trades for sales for which he usually charged smaller amounts as commissions, which effectively hid the actual costs of the trading from his customers. The testimony of the customers, which stated that Venturino never discussed or explained the trading costs they incurred, further reflects an intentional disregard of their interests, and concealment of trading costs. The combined trading costs Venturino charged in the customer accounts totaled $252,256 and from this total, Venturino earned $171,419 in payout credits. Venturino’s unauthorized trading in these accounts is also evidence of the intentionality of his mismanagement of the accounts. The financial pressure of Venturino’s repayment plans requiring him to pay federal tax arrearages of $350,000 and an unpaid state tax debt of $70,000 provided an incentive for him to maximize his profits by trading as frequently as he could, maximizing markups and commissions, while keeping the customers unaware of the costs of the trading. The findings also stated that Venturino engaged in unsuitable excessive and unauthorized trading in the customers’ accounts. The sanctions are not in effect pending the review. (FINRA Case #2021070337501) If you have suffered losses as a result of Michael Christopher Venturino's act and/or actions we would like to hear from you. We are currently investigating claims on behalf of clients who have suffered significant losses in their portfolios that are managed by Michael Christopher Venturino. The Schwartz Law Firm represents investors in claims against financial advisors and their firms. If you have questions about your potential claim or need assistance from an investment fraud lawyer, please contact us at 866-618-0545 or email Matthew Schwartz directly at mschwartz@tslfirm.com.