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Options for Clients of Former Salomon Whitney Financial Broker Joseph Lianzo

Posted on Wednesday, December 22nd, 2021 at 12:31 am    

SW Financial

Erez Law is currently investigating former Salomon Whitney Financial broker Joseph Lianzo (CRD# 4516842). Joseph Lianzo has been registered with SW Financial in Melville, New York since 2017. Previously, Joseph Lianzo was registered with Arive Capital Markets in Coram, New York from March to October 2017 and with Laidlaw & Company (Uk) Ltd. in Melville, New York from 2015 to 2017. Prior to that, Joseph Lianzo was registered with Cape Securities Inc. in Lake Grove, New York from 2014 to 2015 and with Salomon Whitney LLC in Farmingdale, New York from 2012 to 2014. 

In September 2021, FINRA suspended Joseph Lianzo after he “consented to the sanction and to the entry of findings that he excessively traded customer accounts. The findings stated that Lianzo recommended the quantitatively unsuitable trading in the accounts for the customers and they routinely followed his recommendations. As a result, Lianzo exercised de facto control over the customer accounts. Lianzo’s trading of the accounts resulted in high turnover rates and cost-to-equity ratios as well as significant losses. Specifically, the customer accounts incurred losses of $293,308 and the customers paid $127,506 in commissions. The findings also stated that Lianzo placed trades in customer accounts without their prior authorization, knowledge or consent.”

In November 2021, the state of Maryland revoked the registration of Joseph Lianzo after he, “consented to sanction and to the entry of findings that he excessively traded customer accounts which incurred losses of $293,308 and the customers paid $127,506 in commissions. Lianzo was suspended by FINRA for a period of eight (8) months. The Division issued an Order to Show Cause and an Order of Summary Suspension that ordered that failure of Lianzo to file a written answer, including a request for a hearing with 15 days from the date of service of these Orders would result in the entry of an Order of Revocation of Agent Registration.”

Joseph Lianzo Faces Customer Complaint 

Joseph Lianzo has been the subject of two customer complaints between 2014 and 2018, according to his CRD report. The most recent complaint was regarding: 

April 2018. “Churning, negligence, unsuitability, unauthorized trading, breach of contract.” The customer sought $108,215 in damages and the case was settled for $14,999. The complaint was regarding common and preferred stocks and took place while Joseph Lianzo was registered with Salomon Whitney Financial.

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, Salomon Whitney Financial may be liable for investment or other losses suffered by Joseph Lianzo’s customers.

Erez Law represents investors in the United States for claims against brokers and brokerage firms for wrongdoing. If you 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.