June 2020- San Diego, CA
The FINRA records of Michael Rappa, a broker previously employed by Foresters Equity Services, , disclose a regulatory event resulting in his bar from the securities industry and two pending customer disputes.
The Financial Industry Regulatory Authority (FINRA) is the agency that licenses and regulates stockbrokers and brokerage firms. FINRA requires brokers and brokerage firms to report customer complaints and disputes as well as regulatory sanctions. In addition brokers are required to disclose certain financial matters such as personal bankruptcies, judgments and liens.
In February 2019, Rappa was permanently barred from the securities industry by the Securities and Exchange Commission after allegations that he engaged in undisclosed and unapproved private securities transactions. The findings stated that Rappa solicited investors to purchase promissory notes relating to a purported real estate investment fund. Rappa sold $2,731,287 in the fund’s notes to investors, some of whom were customers from his member firm and he received a total of $109,939 in commissions in connection with these transactions. Later the fund filed a voluntary Chapter 11 bankruptcy petition.
In March 2018, a customer of Foresters Equity Services, Inc., filed FINRA case 18-1103 alleging that Rappa made unsuitable private securities transaction recommendations and is seeking damages of $75,000. This case is still pending.
In February 2018, a customer of Foresters Equity Services, Inc., filed FINRA case 18-552 alleging that Rappa made unsuitable private securities transaction recommendations and seeks damages of $700,000. The case is pending.
From March 2018 until February 2019, Rappa was employed by LifePro Asset Management. He was employed with Foresters Equity Services, Inc. from September of 2010 until July of 2017. Before that he worked with Princor Financial Services Corporation, Metlife Securities, Inc. and Metropolitan Life Insurance Company.
If you have problems in an account handled by Michael Rappa call for a no charge consultation .
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