Dominic Baldini Allegedly Failed to Catch Red Flags of Mutual Fund Fraud
Dominic Baldini (CRD #: 3082081), a broker registered with Emerson Equity, has been suspended by FINRA, according to his BrokerCheck record, accessed on February 9, 2022. The regulatory action involves allegations of mutual fund fraud—details are provided below.
On December 22, 2021, Dominic Baldini entered into an Acceptance, Waiver, and Consent agreement (AWC) with FINRA, in which he consented to the findings that he failed to maintain an adequate supervisory system regarding the sale of mutual fund Class A and Class B shares. According to the AWC, Dominic Baldini relied on a report to supervise a representative’s mutual fund recommendations, but the report did not contain essential information about the mutual fund share classes. As a result, Dominic Baldini allegedly failed to detect a representative’s misconduct for more than five years. FINRA Rule 3110 requires firms to adequately supervise their investors.
Certain classes of mutual funds are unsuitable for short-term trading. Class A mutual funds come with front-end loads, or up-front fees, making them unsuitable for frequent trading. FINRA alleges that the representative affected 667 unsuitable, short-term mutual fund transactions, incurring unnecessary sales charges of $1,641,929.94.
As part of the terms of the AWC, Dominic Baldini consented to:
- A 20-day suspension
- A $5,000 fine.
The firm was required to repay the $1,641,929.94 in sales charges, plus interest.
You can read a copy of the AWC here.
Dominic Baldini has passed the following exams:
- Series 65 Uniform Investment Adviser Law Examination
- Series 63 Uniform Securities Agent State Law Examination
- SIE – Securities Industry Essentials Examination
- Series 55 Limited Representative-Equity Trader Exam
- Series 7 General Securities Representative Examination
- Series 24 General Securities Principal Examination
- Series 4 General Securities Principal Examination
- Series 53 Municipal Securities Principal Examination
- Series 27 Financial and Operations Principal Examination
He is a registered broker in 28 states and is a registered investment adviser in California, Texas, Virginia, and Wisconsin.
Dominic Baldini has worked with the following firms:
- Sharespost Financial Corporation (CRD #: 134596)
- Pacific Coast Securities (CRD #: 109681)
- Golden Triangle Securities (CRD #: 45641)
Kurta Law Can Help
If you have worked with Dominic Baldini and have concerns about your investments, don’t hesitate to contact us today at 877-600-0098 or firstname.lastname@example.org for a free consultation.
For nearly 20 years, Kurta Law has advocated on behalf of investors who have lost money following broker fraud or misconduct. Kurta Law is a nationally recognized law firm and exclusively represents investors on a contingency basis. This means that the firm only earns a fee if our securities attorneys recover money on your behalf. Our attorneys will work tirelessly to restore your lost funds and get your financial future back on track.