INVESTORS: Former Spartan Capital Securities broker Terry Tzagarakis was barred by FINRA following allegations he excessively traded in customer accounts.
Terry Tzagarakis (CRD: 2796055) was registered as a broker with Spartan Capital Securities from 2013 until 2020. Tzagarakis was previously registered as a broker with John Thomas Financial from 2010 until 2013.
We previously reported on Tzagarakis in July 2021. Tzagarakis has received two disclosures on his BrokerCheck report since then.
October 2022 Regulatory Judgment
Initiated By: FINRA
Allegations: Without admitting or denying the findings, Tzagarakis consented to the sanctions and to the entry of findings that he excessively traded in customer accounts. The findings stated that Tzagarakis engaged in quantitatively unsuitable trading in customer accounts. Tzagarakis recommended high frequency trading in the accounts, and his customers routinely followed his recommendations. As a result, Tzagarakis exercised de facto control over the customers’ accounts. Tzagarakis’ trading resulted in high turnover rates ranging from 17.3 to 33.4, and cost-to-equity ratios ranging from 67 percent to 175 percent. As a result of Tzagarakis’ excessive trading, the customers suffered collective realized losses of $842,240, while paying total trading costs of $278,964, including commissions of $246,780.
Resolution: Acceptance, Waiver & Consent (AWC)
Sanctions: Civil and Administrative Penalty(ies)/Fine(s)
Registration Capacities Affected: All Capacities
Duration: 12 Months
Start Date: 10/17/2022
End Date: 10/16/2023
Sanctions: Interest on restitution
December 2021 Customer Dispute
Allegations: Time Frame: February 2013 through to Present. Alleged Allegations: Churning, Unsuitability, Breach of Fiduciary Contract, Misrepresentation, Unauthorized Trading, Failure to Supervise
Damage Amount Requested: $1,240,169.28
The Sonn Law Group is currently investigating allegations surrounding Terry Tzagarakis. 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.