Long Island Broker Carl Antaki Subject of FINRA Investigation Alleging Excessive Trading
As recently disclosed by the Financial Industry Regulatory Authority (FINRA), Long Island, NY-based stockbroker Carl George Antaki (Antaki, CRD# 4177543) is under investigation by FINRA Enforcement (Case# 20190636014). Specifically, on April 9, 2021, “FINRA made a preliminary determination to recommend that disciplinary action be brought against Carl Antaki alleging violations of FINRA Rules 2111 and 2010 – Excessive and Unsuitable Trading; and Violation of FINRA Rule 2010 – Unauthorized Trading.”
Mr. Antaki is a long-time securities industry professional with over two decades of financial services experience, as a registered stockbroker. Antaki first entered the securities industry in 2000 and over the course of his career has been affiliated with numerous FINRA-member broker-dealers, including two former brokerage firms which have since been expelled from the industry by FINRA. From November 2015 until September 2019, Mr. Antaki was employed by First Standard Financial Company LLC, of Melville, NY. Most recently, beginning in September 2019 – present, Antaki has been affiliated with Syosset-headquartered Network 1 Financial Securities Inc.
As disclosed through FINRA BrokerCheck and as of the date of this writing, Mr. Antaki has been named or otherwise involved in a total of six (6) customer complaints during his career. Of these customer complaints, one resulted in a customer award, two concluded in settlement, and one matter remains pending. With regard to the pending matter, a securities arbitration proceeding filed in January 2021, it has been alleged that Mr. Antaki engaged in unauthorized trading and the unauthorized use of margin, in addition to breach of fiduciary duty and breach of contract. This pending matter alleges damages of $278,633.
Under FINRA Rule 2111, brokerage firms and their associated persons “must have a reasonable basis to believe that a recommended transaction or investment strategy involving a security or securities is suitable for the customer, based on the information obtained through…” reasonable diligence. A pattern of securities transactions may be quantitatively unsuitable if, when viewed together, are excessive, the level of trading is inconsistent with the customer’s stated objectives and investment profile, and the broker exercises control over the customer’s account. While no single test defines what level of trading is excessive, certain factors including “the turnover rate and the cost-to-equity ratio are considered in determining whether a member firm or associated person has violated FINRA’s [quantitative] suitability rule.”
Investors who have suffered losses with Carl Antaki, or another financial advisor, may contact our office by telephone at (201) 771-1115 or by email at info@gialawgroup.com for a no-cost and confidential consultation to learn more about their legal rights. The attorneys at Giarrusso Law Group LLC have extensive experience with handling all manner of claims on behalf of investors who have been victimized by securities fraud or related misconduct, including instances of excessive trading or account churning.