SEC Names Jeffrey Galvani in Pending Complaint
Jeffrey Galvani (CRD #: 3048728), a broker registered with Crito Capital, is involved in a pending SEC complaint, according to his BrokerCheck record, accessed on February 2, 2023. If you have questions about his alleged conduct as a broker, keep reading.
Pending SEC Complaint
On November 17, 2022, the Securities and Exchange Commission filed a complaint against GEL Direct Trust, its managing trustee GEL Direct, LLC, and their co-owners and control persons Jeffrey Galvani and Stuart Jeffery. The complaint alleges that the defendants sold penny stocks and other securities for GEL Direct Trust clients without being registered as brokers or being associated with a registered broker.
The SEC alleges that GEL Direct and GEL Direct Trust have not registered with the SEC as broker-dealers, but that GEL Direct Trust allegedly does engage in the following business practices:
- Taking possession of clients’ penny stocks
- Directing outside executing brokers in selling these stocks in the market
- Facilitating the settlement of these trades and the disbursement of proceeds to clients
Further, Jeffrey Galvani and Stuart Jeffery allegedly used these methods to execute over 19,000 trades in more than 300 billion shares of stock offered by more than 400 issuers on behalf of approximately 60 of the GEL entities’ clients. These trades allegedly generated over $1.2 billion in proceeds for their clients and more than $12.4 million in compensation for the GEL entities.
The SEC alleges that the defendants violated Section 15(a) of the Securities Exchange Act of 1934 and that Jeffrey Galvani and Stuart Jeffery, as control persons of the GEL entities, are also liable for those entities’ violations of Section 15(a).
This complaint is currently pending.
Securities Exchange Act of 1934
Section 15(a) of the Securities Exchange Act of 1934 prohibits unregistered brokers and dealers from engaging in or inducing the purchase or sale of securities.
Background Information
Jeffrey Galvani has passed the following exams:
- Series 63 – Uniform Securities Agent State Law Examination
- Series 57TO – Securities Trader Exam
- Series 99TO – Operations Professional Examination
- SIE – Securities Industry Essentials Examination
- Series 55 – Limited Representative-Equity Trader Exam
- Series 7 – General Securities Representative Examination
- Series 25 – NYSE Trading Assistant Examination
- Series 14 – Compliance Officer Examination
- Series 24 – General Securities Principal Examination
- Series 4 – Registered Options Principal Examination
- Series 27 – Financial and Operations Principal Examination
Jeffrey Galvani is a registered broker in New Jersey and New York.
He has also worked for the following firms:
- Wynston Hill Capital (CRD#:103811)
- Rothschild Lieberman (CRD#:10030)
- J. Streicher Capital (CRD#:146671)
- J. Streicher & Company (CRD#:3526)
- Raven Securities Corporation (CRD#:35201)
- Direct Access Partners (CRD#:120950)
- The Griswold Company (CRD#:32944)
Kurta Law Can Help
If you worked with Jeffrey Galvani 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 and 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.