Shadi Barakat Investigation
August 2022 -New York
The FINRA records of Shadi Taysir Barakat, a stock broker who is currently employed by Spartan Capital Securities disclose 3 regulatory events, a currently pending customer dispute, 3 prior final customer disputes, and 10 currently outstanding judgement/liens.
The Financial Industry Regulatory Authority (FINRA) is the agency that licenses and regulates stockbrokers and brokerage firms. FINRA requires brokers and brokerage firms to report customer complaints and disputes as well as regulatory sanctions. In addition brokers are required to disclose certain financial matters such as personal bankruptcies, judgments and liens.
In FINRA case 13-01501 a customer of Barakat’s prior employer, Aegis Capital, alleged damages of $500,000 for churning and unsuitable recommendations and investments in private placements. The case was settled for $360,000.
In FINRA case 17-0512 a customer of Barakat’s prior employer, Aegis Capital, was paid $150,000 to resolve allegations that Barakat excessively traded the account and made unsuitable investment recommendations.
In FINRA case 15-2850 a customer of Barakat’s prior employer, Aegis Capital, was paid $35,000 to resolve allegations that Barakat recommended unsuitable investments, made unauthorized transactions, was negligent, made misrepresentations and breached his fiduciary duty, in connection with Exchange Traded Funds and Exchange Traded Notes.
In currently pending FINRA case 22-1203, a customer of Spartan Capital Securities seeks damages and alleges that Barakat made unsuitable recommendations and misrepresentations and breached his fiduciary duty.
Barakat also discloses currently outstanding tax liens owed to the Internal Revenue Service of about $200,000 as well as tax warrants owed to the state of New York.
Shadi T. Barakat has been employed by Spartan Capital Securities since 5/2017. He was previously employed by Aegis Capital 3/2010-5/2017. Prior to that he was with GunnAllen Financial and Joseph Gunnar & Co.
If you have questions about an account handled by Shadi T. Barakat , contact us to discuss your options.
Rex Securities Law , with offices in Boca Raton, FL, and Austin, TX, provides representation to investors nationwide who are seeking recovery of investment losses due to the negligence or fraud of stockbrokers and broker dealers. If you have questions about how your account has been handled, call to speak with an experienced securities attorney.
Most cases handled on a contingent fee basis meaning that you do not pay legal fees unless we are successful.
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