Former Park Avenue Securities LLC Broker Nicholas Palumbo Accused of Selling Away
Posted on Monday, December 14th, 2020 at 9:24 pm
Erez Law is currently investigating former Park Avenue Securities LLC broker Nicholas Palumbo (CRD# 1069948) who is accused of selling away. Palumbo was registered with Park Avenue Securities LLC in Armonk, New York from 1999 to 2020. Palumbo was terminated regarding, “The RR was permitted to resign while under investigation for failure to disclose an unapproved private securities transaction and soliciting clients to invest in same.”
When a U.S. based brokerage firm sells an investment to a client without his brokerage firm’s permission, the broker is selling investments away from the firm, or simply “selling away.” A broker might partake in this inappropriate practice to earn a commission he or she would otherwise have to pass up.
It is alleged that Palumbo engaged in undisclosed outside business activities and other private securities transactions, resulting in investment losses for his clients. Some of the alleged undisclosed outside business activities involved recommendations of You Have Infinite Power (a book of which Palumbo was a co-author), Empowered Mastery Consultants, Trivium Financial Group, and Children’s Health & Research Foundation.
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, Park Avenue Securities LLC may be liable for investment or other losses suffered by Palumbo’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.