According to FINRA, Michael Joseph Muratore was fined $25,000 and suspended for two years on March 18, 2022, for forging customer signatures, falsifying documents, and circumventing firm procedures regarding beneficiary designations.

Muratore forged the signature and initials of a customer without prior knowledge or authorization on documents for surrendering three annuities and purchasing a new variable annuity. He also falsified the customer's account record by changing a date on a document to make it appear signed one month later than it actually was. These actions caused his firm to maintain inaccurate books and records.

Additionally, Muratore circumvented firm procedures by becoming a 50 percent beneficiary of another customer's Transfer on Death account. The customer, who was not related to Muratore, named him as beneficiary of a new account for which Muratore was broker of record. Despite being aware of firm procedures and his designation as beneficiary, Muratore failed to disclose this to the firm. The customer subsequently changed the beneficiary to a relative and removed Muratore.

Furthermore, Muratore impersonated a customer during telephone calls with an insurance company to advance the process for surrendering an annuity to fund securities purchases at his firm.

This case involves multiple serious violations demonstrating a pattern of deceptive conduct. Forging customer signatures on financial documents is one of the most serious forms of misconduct because it involves creating false evidence of customer authorization. Falsifying dates compounds the deception.

Becoming a beneficiary of a customer's account creates obvious conflicts of interest, which is why firms have procedures governing such relationships. Muratore's concealment of the beneficiary designation prevented his firm from evaluating the appropriateness of this arrangement and implementing additional supervision.

The two-year suspension reflects the serious nature of the violations and the pattern of deceptive conduct. Investors must be able to trust that documents bearing their signatures are genuine and that their financial professionals will not secretly position themselves as beneficiaries of customer accounts.