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Raymond DeRobbio is the Subject of FINRA Investigation

Feb 15, 2022 FINRA Investigation

Raymond DeRobbio (CRD #:1092310), a broker registered with Cantone Research, is the subject of a FINRA investigation for alleged misrepresentation, according to his  BrokerCheck Record accessed on December 16, 2021.  

Misrepresentation Allegations

On October 26, 2021, Raymond DeRobbio was named a respondent in a FINRA complaint alleging that he made numerous fraudulent and negligent misrepresentations and omissions of material facts in connection with two municipal bond offerings that defaulted, causing customers to lose more than $6,225,000.

Misrepresentations and omissions concerning material facts in investment recommendations deprive investors of the information they need to assess risks associated with a particular investment. FINRA Rule 2020 prohibits brokerage firms and stockbrokers from making material misrepresentations or inducing people into buying investments with false statements about their potential benefits. This unethical conduct also violates FINRA Rule 2010, which states that brokers must uphold high standards of commercial honor. 

Quad Cities Municipal Bond Offering 

In 2013, Raymond DeRobbio allegedly made negligent misrepresentations and omissions of material fact in connection with the underwriting and sale of $2,200,000 worth of municipal revenue bonds in an offering for the Quad Cities Regional Economic Development Authority First Mortgage Revenue Bonds (Quad Cities Bonds). The Quad Cities Bonds were issued to fund the purchase and rehabilitation of a dormitory at Sauk Valley Community College, a two-year community college in Illinois.

The bonds were structured in such a way that if the dormitory failed to generate revenue in excess of its operating expenses, then investors would face losses.

Montgomery 2015 Municipal Bond Offering 

In 2015, Raymond DeRobbio allegedly made fraudulent misrepresentations and omissions of material fact in connection with the underwriting and sale of $6,025,000 worth of municipal revenue bonds in an offering for The Medical Clinic Board of the City of Montgomery-1976 East.

Similar to the Quad Cities Bonds, the Montgomery 2015 Bonds were conduit bonds. Raymond DeRobbio reportedly knew that the alleged misrepresentations and omissions of material facts made to customers in connection with the offering and sale of the bonds were false and misleading. 

For more details regarding the allegations, read here.

Background Information

Raymond DeRobbio has passed the following exams:

  • Series 63 - Uniform Securities Agent State Law Examination
  • SIE - Securities Industry Essentials Examination
  • Series 7 - General Securities Representative Examination
  • Series 53 - Municipal Securities Principal Examination

He is a registered broker in 12 states.

Raymond DeRobbio has also worked with the following firms

  • Northeastern Financial Group, Incorporated (CRD#:16208)   
  • J.P. Turner & Company. (CRD#:43177) 
  • Andrew, Alexander, Wise & Company Incorporated (CRD#:37710) 
  • Prime Capital Services (CRD#:18334)
  • Schneider Securities (CRD#:16434)
  • H.J. Meyers & Co. (CRD#:15609)
  • Josephthal Lyon & Ross Incorporated (CRD#:3227)   
  • Reich & Co., (CRD#:19611)          
  • Rickel & Associates (CRD#:7839)
  • Advest  (CRD#:10) 
  • Herbert J. Sims & Co. (CRD#:3420)        
  • Thomson Mckinnon Securities (CRD#:829)       
  • Bear, Stearns & Co. (CRD#:79)

Kurta Law Can Help 

If you have been victimized by Raymond DeRobbio as a broker, don't hesitate to get in touch with 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. Please contact us for any questions about how to proceed.