(FINRA Case #2012034719701)
Paul Eric Taboada (CRD #2033981, Old Brookville, New York) – The NAC (National Adjudicatory Council) Decision was appealed to the SEC. Taboada was barred from association with any FINRA member in any capacity.
The NAC affirmed the findings and sanction imposed by OHO(Office of Hearing Officers). The sanction was based on findings that Taboada misappropriated investor funds and securities by failing to return excess capital to investors and by failing to distribute to certain investors all of the shares in an initial public offering (IPO) to which they were entitled.
The findings stated that Taboada misused customer funds and securities by improperly using excess capital from investors, without their authorization, to pay expenses owed by other investors. The findings also stated that Taboada caused a broker-dealer to double its commissions paid to an entity he created, which increased the amount of his member firm’s sales concession on transactions and provided financial benefit to the firm.
Taboada failed to disclose to investors the sales concessions the firm received on the IPO transactions, and provided false and misleading information to investors. The findings also included that Taboada provided false documents and testimony to FINRA.
The bar remains in effect while under review.
If you feel you have been misled by Paul Eric Taboada or Brokerage Firm and wish to discuss legal action, please contact Darren Blum at 1-877-786-2552 (1-877-STOCK LAW), www.stockattorneys.com for a free consultation.