John Piccarreto, a registered representative from San Antonio, Texas, formerly with First American Securities, was suspended from FINRA membership as a result of an investigation into his private business transactions and dealings with another company other than his firm, which is a violation of FINRA rules. Piccarreto entered into an acceptance waiver and consent agreement with FINRA in which he neither admitted nor denied the findings, but agreed to a suspension of 24 months and a fine of $15,000. He also must reregister as a representative after passing the required examination.
In June 2017, John Piccarreto agreed to the suspension and FINRA published its findings that he took part in multiple private securities dealings in which he offered investments to some of his clients without reporting the transactions to his firm. He received $500 per week from a different company for his private work with investments.
FINRA also discovered that he was not candid on the record during an investigation into his work on the private offerings. He said that he did not have any knowledge of any type of outside dealings, and knew nothing about the offerings. This was later found to be untrue, as he was closely involved with multiple private transactions.