Piero DiLorenzo (CRD#: 4670150), a former broker with NYLIFE Securities LLC (CRD#: 5167) in Melville, New York, has been barred by the Financial Industry Regulatory Authority (FINRA), according to his BrokerCheck record accessed on May 12, 2020.
How did this bar come about? Piero DiLorenzo’s troubles began on June 18, 2019, when NYLIFE Securities LLC terminated him. What happened? The firm learned that he submitted eight electronic variable annuity applications—but the customers didn’t know. Since Piero DiLorenzo submitted variable annuity applications without his customers’ knowledge or permission, the firm terminated him.
FINRA then commenced an investigation into whether Piero DiLorenzo submitted variable annuity applications and other documents without client authorization. FINRA asked Piero DiLorenzo to appear for on-the-record testimony in connection with its investigation. But the broker refused to cooperate with FINRA and failed to answer the self-regulatory organization’s questions. As a result of his failure to cooperate, on April 13, 2020, FINRA barred Piero DiLorenzo. His bar started on April 13, 2020 and will continue indefinitely. A copy of Piero DiLorenzo’s Acceptance, Waiver, and Consent (AWC) agreement with FINRA can be viewed here.
At minimum, submitting forms on behalf of a customer without their knowledge or consent is a violation of FINRA Rule 2010, which mandates that brokers act with professional integrity. It is also significant that Piero DiLorenzo placed customers in variable annuities without their consent. Variable annuities are complex investment products that are not suitable for all investors. They carry high fees, including surrender fees, and may tie up investors’ money for years. Brokers find variable annuities attractive, however, because they yield high commissions for themselves. As a result, some unscrupulous brokers may place customers in unsuitable variable annuities to line their own pockets, disregarding what is suitable for a given customer. For more information on variable annuities, see our article “What are Variable Annuities?”
Over his eight years in the securities industry, Piero DiLorenzo worked for two broker-dealers. In addition to NYLIFE Securities LLC (CRD#: 5167) in Melville, New York, Piero DiLorenzo has also worked for PFS Investments, Inc. (CRD#: 10111). He has passed the Series 63 – Uniform Securities Agent State Law Examination, the SIE – Securities Industry Essentials Examination, and the Series 6 – Investment Company Products/Variable Contracts Representative Examination.
If Piero DiLorenzo was your broker and you have questions about your investments, don’t hesitate to contact the securities attorneys of Fitapelli Kurta to learn about your options for recovery. Call (877) 238-4175 or email email@example.com for your free case consultation with a securities attorney.