Craig David Dima, an ex-registered representative with K.C. Ward Financial in Ronkonkoma, New York, was barred from the securities industry by FINRA for making unauthorized and unsuitable trades amounting to roughly $15 million in a seventy-three (73) year old retiree’s account, as well as for misrepresenting the reasons for all the trades to the customer.

FINRA found that on eleven different occasions, Dima sold nearly all of the client’s Colgate-Palmolive stock, which he had acquired after twenty-eight (28) years of working for the company, without the customer’s permission. FINRA discovered that Craig David Dima sold the stock even after the client instructed him not to, which the client considered a valuable long-term investment and reliable source of dividends. When the client asked Dima about the sales, Dima stated they were caused by a “computer glitch” or a technical error.

Related to Dima’s unauthorized sales and later repurchases of Colgate stock, Dima charged the client over $375,000 in mark-ups, mark-downs and fees and deprived the client of $127,000 in dividends had she kept the Colgate stocks, according to FINRA.

FINRA stated that Dima’s trading of the client’s Colgate shares violated rules prohibiting excessive mark-ups and mark-downs.

The Frankowski Firm has years of experience representing investors who have lost money as the result of brokers’ fraudulent schemes. If you or someone you know has lost money as a result of such a scheme, please contact Richard Frankowski at 888-741-7503 to discuss your potential legal remedies or complete the contact form.