Barone allegedly altered documents that he had to produce to FINRA, among other violations.
The Sonn Law Group is investigating allegations that Christpher Barone committed misconduct. If you or a family member has suffered losses investing, we want to discuss your case. Please contact us today for a free review of your case.
Christopher Barone (CRD#:2032268) consented to the sanction of a bar from the financial industry. He also consented to the entry of findings that he made misrepresentations to FINRA about the frequency of the supervision of his member firm’s trade reporting responsibilities, and altered documents that he produced to FINRA.
The findings stated that FINRA conducted two inquiries pertaining to the firm’s compliance with its trade reporting responsibilities. One of these inquiries pertained to the firm’s reporting of municipal securities transactions to the MSRB. Barone was solely responsible for preparing the firm’s response. Barone falsely represented that he “reviewed these trades monthly to make sure we are not reporting late to MSRB.” In fact, Barone was reviewing the firm’s municipal trade reporting only on, at most, a quarterly basis.
Barone also produced three MSRB spreadsheets that purportedly evidenced his supervisory reviews, but before doing so, he altered the documents in two important ways. First, he removed the search date on the document, which was evidence of when Barone had actually conducted the review. Second, he added a different date and his initials.
In a separate inquiry, FINRA requested that the firm produce evidence of supervisory reviews in connection with its reporting responsibilities through the Trade Reporting and Compliance Engine (TRACE). Barone produced a document that he had created. This document was entitled FINRA Report Center Reviews, and included a column designated reviewed.
Under this column were thirteen dates, purportedly showing that Barone had conducted monthly reviews for TRACE reporting compliance. FINRA’s Report Center Usage Log showed that the firm had conducted a TRACE reporting compliance review on only three occasions. As a result, FINRA requested that Barone confirm that the reviewed dates represent the dates the firm conducted the reviews, and Barone responded “correct”. Because Barone had, in fact, only conducted a TRACE reporting review three times his representation was false.
Barone was named in six customer disputes in 2016 and 2017, all of which were settled. He was added to the disputes because, as CEO and CCO, he was the supervisor of all activity.
Contact Us Today
The Sonn Law Group is currently investigating allegations that Christopher Barone committed misconduct. We represent investors in claims against negligent brokers and brokerage firms. If you or your loved one experienced investment losses, we are here to help. For a free consultation, please call us now at 866-827-3202 or complete our contact form.