Robert Escobio Bar Confirmed In FINRA NAC Decision

FINRA Bars Robert Escobio Per NAC Decision

The Financial Industry Regulatory Authority (“FINRA”) barred Robert Juan Escobio – the former Southern Trust Securities CEO (CRD#: 703813, Miami, Florida). This bar means that Escobio cannot be a FINRA-member securities broker or associate with those firms. Other regulatory actions are reported on this securities broker’s record too. Also, five investors filed disputes about his actions at Southern Trust Securities. Here’s more.

FINRA Bars Robert Escobio For Allegedly Failing To Comply During An Investigation

First of all, FINRA barred Escobio in March 2021 per a National Adjudicatory Council Decision. Basically, the Decision stated that when FINRA investigated Robert Escobio for potentially associating with a firm without authorization, and it asked Escobio for information in this respect, he opted not to comply. He purportedly acknowledged that he did not comply but claimed that he was not required to. The regulator determined that Escobio was wrong.
Before this regulatory action occurred, FINRA disqualified Robert Escobio from being a securities broker because Commodity Futures Trading Commission (“CFTC”) obtained a judgement against him and Southern Metals Inc. Notably, the court ordered Escobio to pay a monetary penalty and to refrain from engaging in unlawful activities. Escobio and Southern Trust allegedly misrepresented information to clients regarding investment in metals. Allegedly, clients believed that they would use loans to purchase metals. Allegedly, their money went into London-based margin trading firms, and assets were used for off-exchange derivative contracts.
Other regulators who have sanctioned Escobio include Foreign Office of Financial Regulation (2016) and National Futures Association (2013).

Capital Investment Services Client’s Dispute About Escobio Alleges Unsuitable, Unauthorized Trading

Notably, a Capital Investment Services client brought a dispute about Robert Escobio. First of all, the client alleged that Escobio churned their account. Secondly, the securities broker supposedly made unsuitable trades and did not recommend a diversified investment portfolio. Thirdly, the client claimed that Escobio made unauthorized trades. For that reason, the Capital Investment Services client received $30,000.00 in a settlement of that dispute.

Prudential Client Alleges Unsuitability In Dispute About Robert Escobio

Also, a client of Prudential-Bache Securities brought a dispute about Robert Escobio. Specifically, the client claimed that Escobio may have sold or recommended unsuitable stocks. Because of this, the client supposedly experienced damages. To settle this matter, Prudential compensated this client in the amount of $7,203.

Losses From Investing Through Securities Broker Escobio?

Apparently, Robert Escobio denies allegations of his sales practice violations. Have you incurred losses by investing with this securities broker? If so, touch base with Soreide Law Group at (888) 760-6552 and speak with a knowledgeable securities lawyer about a possible recovery of your investment losses. Soreide Law Group represents clients on a contingency fee basis and advances all costs. The law firm has recovered compensation for clients across the US who experienced losses because of their securities brokers and financial advisors.
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