In September, the Massachusetts Secretary of the Commonwealth Securities Division filed an administrative complaint against John Michael Babiarz, formerly of broker-dealer firm Bishop, Rosen & Co. (Bishop Rosen)
The Secretary of the Commonwealth’s complaint alleges that Babiarz, who was registered with Bishop Rosen from 2009 to 2011, falsely told at least four elderly clients that he was a registered broker-dealer agent of Fidelity Brokerage Services, LLC. He had them transfer money to Fidelity and was then able to directly access his clients’ accounts, taking out at least $486,790 and using the money for his personal benefit and for family’s expenses. The Secretary of the Commonwealth is seeking to permanently ban Babiarz from working in the securities industry in Massachusetts.
Prior to Bishop Rosen, Babiarz was previously registered with FINRA through Capitol Securities Management, Inc., Jesup & Lamont Securities Corporation, Primevest Financial Services, Inc. among others.
Babiarz was discharged from Bishop Rosen in 2011 after a customer filed a dispute against him. Earlier in 2013, Babiarz was fined a total of $20,000 and suspended from all activities for 90 days after he attempted to settle customer disputes without informing the firm.
Clients of Babiarz are encouraged to contact the Blau & Malmfeldt law firm at 312-443-1600 to discuss potential recovery options. Blau & Malmfeld is a law firm that represents investors across the United States in securities, commodity futures, partnership, and shareholder rights disputes.