FINRA Bars Michael Raineri for Alleged Conversion
Michael Raineri (CRD #: 4817558), a broker formerly registered with Securities America, has been barred by FINRA, according to his BrokerCheck record, accessed on May 2, 2023. Read on if you have questions about his alleged conduct as a broker.
Bar by FINRA
On April 18, 2023, Michael Raineri consented to the entry of findings that he allegedly converted more than $135,000 in funds from a client.
According to a Letter of Acceptance, Waiver & Consent (AWC), Michael Raineri allegedly entered an agreement with a client in or before August 2018 to pay certain personal expenses on that client’s behalf.
The client allegedly paid him at least $135,000 between August 2018 and August 2022, purportedly as reimbursement. However, the AWC alleges that these payments significantly exceeded the expenses Michael Raineri had paid and that he was not entitled to these additional funds.
The AWC concludes that these allegations constitute violations of FINRA rules 2150(a) and 2010.
FINRA Rule 2150
FINRA Rule 2150(a) prohibits the improper use of investors’ funds.
FINRA Rule 2010
FINRA Rule 2010 holds brokers to high standards of commercial honor and just and equitable principles of trade.
Sanctions
Michael Raineri was permanently barred by FINRA starting April 18, 2023.
You can read a copy of the AWC here.
Termination from Securities America
On April 6, 2023, Michael Raineri was fired from Securities America for allegedly failing to follow firm policies by being named as power of attorney for clients’ bank accounts.
Michael Raineri allegedly also engaged in transactions with a client amounting to payment processing for services that the client received from third parties. The firm further alleged that he did not request or receive approval for these transactions.
Investor Dispute
On January 31, 2023, an investor alleged that Michael Raineri transferred approximately $135,000 out of their bank account to his own without the client’s consent. The investor seeks $135,000 in damages in this pending dispute.
Background Information
Michael Raineri has passed the following exams:
- Series 65 – Uniform Investment Adviser Law Examination
- Series 66 – Uniform Combined State Law Examination
- SIE – Securities Industry Essentials Examination
- Series 6 – Investment Company Products/Variable Contracts Representative Examination
He has also worked for the following firms:
- Securities America (CRD#:10205)
- KMS Financial Services (CRD#:3866)
- Cetera Advisors (CRD#:10299)
- Pacific West Securities (CRD#:6390)
Kurta Law Can Help
If you worked with Michael Raineri 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.
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