Joseph Todaro Embroiled in Two Investor Disputes Alleging Unauthorized Trading

Joseph Todaro (CRD #:5708585), a broker registered with Network 1 Financial Securities, is involved in two pending investor disputes alleging he executed unauthorized trades in 2022. This is according to his BrokerCheck record, accessed on March 25, 2022. 

On February 23, 2022, an investor alleged that Joseph Todaro engaged in unauthorized trading. 

FINRA Rule 3260

Unauthorized trading is a major problem in the world of finance. It occurs when brokers sell, buy or exchange securities without prior consent from their clients. FINRA prohibits unauthorized trading, and FINRA Rule 3260 states that no broker shall exercise trading discretion in a customer account unless that account has been approved for discretionary trading, both by the customer and the firm. 

Employment Termination Details

On December 23, 2021, SW Financial fired Steven Thompson after allegedly using non-approved electronic communication methods after written reprimands.

FINRA Rule 3110

FINRA Rule 3110 requires that stockbrokers only communicate with investors using approved messaging applications so that the firm can access those communications for review. Brokerage firms must review communications to ensure that stockbrokers comply with applicable securities rules and regulations.

Prior Disputes

Pending Dispute

On April 5, 2021, Joseph Todaro was named in an investor dispute alleging poor performance, failure to follow instructions, poor service, and excessive trading from June 2020 to July 2020. The investor is seeking $206,000. 

Settled Dispute

On November 24, 2017, an investor dispute was filed against Joseph Todaro, alleging churning, breach of fiduciary duty, and excessive commissions. The case settled for $60,000.

Background Information

Joseph Todaro has passed the following exams:

• Series 63 – Uniform Securities Agent State Law Examination
• SIE – Securities Industry Essentials Examination
• Series 7 – General Securities Representative Examination

Joseph Todaro is a registered broker in 24 states.

Besides Network 1 Financial Securities and SW Financial, Joseph Todaro has also worked with the following firms:

• Worden Capital Management (CRD#:148366)
• Spartan Capital Securities (CRD#:146251)
• Laidlaw & Company (UK) (CRD#:119037)
• Craig Scott Capital (CRD#:155924)
• Rockwell Global Capital (CRD#:142485)
• EKN Financial Services (CRD#:113525)

   Kurta Law Can Help

If you have worked with Joseph Todaro and have concerns about your investments, don’t hesitate to contact us today at 877-600-0098 or info@kurtalawfirm.com for a free consultation.

For nearly 20 years, Kurta Law has advocated for investors 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.