National investment fraud lawyers KlaymanToskes reports broker/investment advisor Ron Filoramo (CRD# 3270398) has been permanently barred from acting as a broker or associating with a broker-dealer firm by the Financial Industry Regulatory Authority (“FINRA”), and has been hit with charges by the Securities Exchange Commission (“SEC”) for stealing $761,000 from two Morgan Stanley customers.
According to FINRA BrokerCheck, Ron Ernest Filoramo was registered with Morgan Stanley in Fort Lauderdale, FL from 2011 to 2023. Filoramo is also facing four customer complaints alleging he fraudulently induced clients to transfer funds to purported investments that were never made.
Investors that suffered losses with Ron Filoramo at Morgan Stanley may have recovery options. Contact attorney Lawrence L. Klayman, Esq., at 888-997-9956 or lawrence@klaymantoskes.com for a free consultation to discuss legal options. We do not collect attorney’s fees unless we are able to obtain a financial recovery for you.
On September 18th, 2023, FINRA’s Department of Enforcement entered into a Letter of Acceptance, Waiver, and Consent (“AWC”) with Ron Filoramo, disclosing that he consented to sanctions of a permanent bar from associating with any FINRA member in all capacities.
According to the AWC, the matter originated from Morgan Stanley’s filing of a Form U-5 which disclosed that Filoramo was terminated “following allegations he fraudulently induced clients to transfer funds to purported investments that were never made.” FINRA’s Form U5 is the “Uniform Termination Notice for Securities Industry Registration,” used by brokerage firms each time one of their registered employees leaves the firm, for any reason.
In connection with its investigation into his termination, FINRA sent a request to Filoramo for the production of information and documents pursuant to FINRA Rule 8210. After the response deadline passed, FINRA again sent Filoramo a request for the production of information and documents.
Filoramo failed to meet FINRA’s second deadline and on August 9, 2023, Filoramo’s counsel acknowledged his receipt of the requests and stated Filoramo would not cooperate at any time.
Following his permanent bar from the securities industry, Filoramo was hit with an SEC Complaint for the misappropriation of approximately $761,000 from two long-standing Morgan Stanley brokerage customers. The SEC’s complaint further alleges that Filoramo represented that he would invest the customers’ funds in bonds from Filoramo’s purported client.
However, instead of investing his customers’ funds, Filoramo misappropriated the customers’ money for his personal benefit, including gambling and related expenses. The SEC’s investigation found that the customers unknowingly transferred their funds to bank accounts controlled by one of Filoramo’s friends who, in turn, would transfer the funds to an account owned by Filoramo. No bonds were ever purchased by Filoramo, and he purportedly spent nearly all of the investors’ money.
According to FINRA BrokerCheck, Ron Ernest Filoramo has been hit with several pending customer complaints alleging over $800,000 in collective damages to the customers’ Morgan Stanley accounts due to investment recommendations in a purported outside investment.
Filoramo has four pending customer complaints, listed below:
Former customers of Ron Filoramo who suffered investment losses are encouraged to contact attorney Lawrence L. Klayman, Esq. at (888) 997-9956 or lawrence@klaymantoskes.com to discuss our investigation and your recovery options. We do not collect attorney’s fees unless we are able to obtain a financial recovery for you.
KlaymanToskes is a leading national securities law firm which practices exclusively in the field of securities arbitration on behalf of retail and institutional investors throughout the world in large and complex securities matters. The firm has recovered over $250 million in FINRA arbitrations and over $350 million in other securities litigation matters. KlaymanToskes has office locations in California, Florida, New York, and Puerto Rico.
KlaymanToskes, P.A.
Lawrence L. Klayman, Esq.
888-997-9956
lawrence@klaymantoskes.com
www.klaymantoskes.com