Erez Law is currently investigating former Morgan Stanley broker Scott Donato (CRD# 2336331) regarding options losses. Donato was registered with Morgan Stanley in Miami, Florida from 2009 to 2017.
In March 2019, FINRA barred Donato after he failed to respond to FINRA request for information.
Donato has been the subject of nine customer complaints between 2001 and 2017, three of which were denied and one was closed without action, according to his CRD report. Recent complaints are regarding:
- November 2017. “Claimants alleged, inter alia, unsuitability with respect to investments in accounts – 2010 to 2017.” The customer sought $2 million in damages and the case was settled for $150,000. The case was regarding equity OTC and options losses.
- March 2017. “Claimant alleged, inter alia, unsuitability with respect to investments in accounts – 2010 to 2013.” The customer sought $5 million in damages and the case was settled for $995,000. The case was regarding options and exchange-traded funds (ETFs).
Pursuant to FINRA Rules, member firms are responsible for supervising a broker’s activities during the time the broker is registered with the firm. Therefore, Morgan Stanley may be liable for investment or other losses suffered by Donato’s customers.
Erez Law represents investors in the United States for claims against brokers and brokerage firms for wrongdoing. If and have experienced investment losses, please call us at 888-840-1571 or complete our contact form for a free consultation. Erez Law is a nationally recognized law firm representing individuals, trusts, corporations and institutions in claims against brokerage firms, banks and insurance companies on a contingency fee basis.
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