Tory Duggins Allegedly Made Excessive Trades

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Tory Duggins (CRD# 4556340), formerly a broker registered with Spartan Capital Securities, recommended unsuitable and excessive trades to senior customers, according to an investor dispute. MDF Law is investigating the former New York City-based broker for similar conduct. We urge investors with concerns about their accounts to call us for a free consultation.

To learn more about Mr. Duggins’ history as a broker, continue reading this post. The following information is based on a February 7, 2024 review of his BrokerCheck profile, a Financial Industry Regulatory Authority (FINRA) record.

FINRA Suspends Duggins over Unsuitable, Excessive Trading Allegations

On January 19, 2024, FINRA filed a disciplinary action against Mr. Duggins. According to a Letter of Acceptance, Waiver, and Consent (# 2018056490309), he unsuitably recommended excessive trades to certain customers, including seniors. FINRA found that these customers “relied on his advice and routinely followed his recommendations,” giving him de facto control over their accounts. His allegedly excessive trading resulted in $444,176 in total costs, as well as $235,494 in total realized losses. As FINRA notes, those costs included $343,416 in commission payments. Concluding that his trading was “excessive, unsuitable, and not in the best interest of the customers given their investment profiles,” FINRA found that Mr. Duggins also “willfully failed” to report a customer complaint.

Mr. Duggins did not admit or deny FINRA’s findings. He did, however, consent to the imposition of an 18-month suspension. The suspension commenced on February 20, 2024 and will lift on August 19, 2025. 

Past Sanction Alleged Unauthorized Trading

The above-described disciplinary action is not the only one in Mr. Duggins’ past. On November 10, 2014, FINRA filed an enforcement action alleging that he made unauthorized trades in customer accounts. More precisely, FINRA found that he exercised discretionary authority in customer accounts without obtaining their prior written authorization. He also allegedly failed to obtain his former member firm’s approval of the accounts as discretionary. As a result of these findings, FINRA fined him $7,500 and suspended him from acting as a broker for one month.

2017 Dispute Alleged Unsuitable Investments, Improper Margin Use

On October 5, 2016, an investor filed a dispute alleging that Mr. Duggins recommended unsuitable stock investments, improperly used margin, and breached his fiduciary duty. In 2017, his former member firm settled the dispute for a total of $26,127.

FINRA: Duggins Last Based in NYC

Tory Duggins launched his career as a broker in 2004. That year, he registered with Meyers Associates’ office in New York City, where he remained until the following year. In the years since, he worked at firms like Mercer Capital, Brill Securities, and Avenir Financial Group. He joined his most recent member firm, Spartan Capital Securities, in 2016, working at its New York City office until 2024. With 19 years of experience as a broker, he has completed three industry exams, including the Series 7 and the Series 63. He is currently under suspension.

Contact MDF Law for a Free Consultation

If you lost money investing with Tory Duggins, you may have recovery options. The expert investment fraud attorneys at MDF Law have demonstrable experience advocating for investors through the FINRA arbitration process. We accept cases on a contingency basis, meaning you only pay if you win. Call 800-767-8040 for a free consultation with our team today. 

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