SEC Bars Daniel Madasz Following Securities Fraud Charges

Daniel Madasz (CRD #: 1035237), a broker formerly registered with Multi-Financial Securities Corporation, has been barred by the SEC, according to his BrokerCheck record, accessed on November 15, 2024. If you want to know more about his alleged conduct as a broker, keep reading.

SEC Regulatory Action

On October 2, 2024, the Securities and Exchange Commission instituted a regulatory action against Daniel Madasz following a lawsuit filed against him by the State of Kansas.

The lawsuit alleged that Daniel Madasz operated as an investment adviser representative without being registered in Kansas in September and October 2014. He allegedly recommended that two advisory clients purchase securities issued by Skytec Security Services, but did not inform them that the company had hired him to find investors.

One of these investors allegedly invested in a two-year $200,000, 10% interest promissory note issued by Skytec Security Services, and the other invested in a $350,000 subscription agreement with the company. The lawsuit alleged that Skytec Security Services embezzled the entirety of these investments. Daniel Madasz allegedly also failed to inform these two investors of the amounts the company owed to other investors.

On December 2, 2020, Daniel Madasz pleaded guilty to two counts of securities fraud and one count of acting as an unregistered investment adviser representative. On February 19, 2021, he was sentenced to 12 months in prison and two years of supervised release, and ordered to pay $550,000 in restitution.

Sanctions

On October 2, 2024, the SEC permanently barred Daniel Madasz from associating with the following:

• Brokers
• Dealers
• Investment advisers
• Municipal securities dealers
• Municipal advisors
• Transfer agents
• Nationally recognized statistical rating organizations (NRSROs)

Background Information

Daniel Madasz has passed the following exams:

• Series 65 – Uniform Investment Adviser Law Examination
• Series 63 – Uniform Securities Agent State Law Examination
• Series 7 – General Securities Representative Examination
• Series 6 – Investment Company Products/Variable Contracts Representative Examination

He previously worked for the following firms:

• Multi-Financial Securities Corporation (CRD#:10299)
• MML Investors Services (CRD#:10409)
• Massachusetts Mutual Life Insurance Company (CRD#:2682)

Kurta Law Can Help

If you worked with Daniel Madasz and you have concerns about your investments, please contact us today at 877-600-0098 or info@kurtalawfirm.com for a free consultation.

For over 20 years, Kurta Law has advocated on behalf of investors who want to recover their investment losses from brokers and brokerage firms. Kurta Law is a nationally recognized law firm that exclusively represents investors against brokers and brokerage firms on a contingency basis. This means that the firm only earns a fee if our securities attorneys recover money on your behalf.