Jeffrey Stanga, Broker with FMN Capital, Suspended by FINRA Following Allegations He Failed to Disclose the Nature of His Outside Business Activities

Stanga is suspended for 12 months and was ordered to pay a $10K fine.

Jeffrey Stanga (CRD#:4933804) is registered as a broker with FMN Capital Corporation, where he has been employed since 2014. Stanga is also registered as an investment adviser.

Stanga has four disclosures on his BrokerCheck report.

March 2021 Regulatory Judgment

• Status: Final
• Initiated By: FINRA
• Allegations: Without admitting or denying the findings, Stanga consented to the sanctions and to the entry of findings that he failed to fully disclose the nature of his outside business activities. The findings stated that prior to his association with the member firm, Stanga sold a private placement offering of membership units in connection with a residential real estate flipping business. Stanga provided written notice to the firm on his Form U4, describing his involvement as an “investor, gives advice/opinions on buying/fixing/selling residential homes,” but failed to fully disclose his role as “manager,” and that the business was an investment-related business. The findings also stated that Stanga participated in private securities transactions without providing the required written notice to, or receiving written approval from, the firm. Prior to his association with the firm, Stanga sold promissory notes to investors in connection with a real estate brokerage firm. After registering with the firm, Stanga participated in private securities transactions totaling $1,160,000 by facilitating the renewals of the real estate brokerage promissory notes he sold to investors prior to his association with the firm. Stanga facilitated the promissory note renewals for investors (one of whom was a firm customer) by acting as an intermediary between the investors and the real estate brokerage. Stanga received $28,359 in referral fees in connection with these private securities transactions.
• Resolution: Acceptance, Waiver & Consent (AWC)
• Sanctions: Civil and Administrative Penalty(ies)/Fine(s)
• Amount: $10,000.00
• Sanctions: Disgorgement
• Amount: $28,359.00
• Sanctions: Suspension
• Registration Capacities Affected: All capacities
• Duration: 12 months
• Start Date: 4/5/2021
• End Date: 4/4/2022

January 2018 Customer Dispute

• Status: Settled
• Allegations: Sold unsuitable product to client
• Damage Amount Requested: $225,000.00
• Settlement Amount: $46,000.00
• Broker Comment: The individual bringing arbitration never was a client of FMNCC and product was sold by Jeff Stanga prior to joining FMNCC.

January 2018 Customer Dispute

• Status: Award / Judgment
• Allegations: Selling an unsuitable product 2010
• Damage Amount Requested: $150,000.00
• Damages Granted: $75,000.00
• Broker Comment: The individual bringing arbitration never was a client of FMNCC and product was sold by Jeff Stanga prior to joining FMNCC.

May 2012 Financial Event

• Status: Final
• Type: Compromise
• Disposition: Compromise

Contact Us Today

The Sonn Law Group is currently investigating allegations surrounding Jeffrey Stanga. 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.