Paul Steffany Barred After Allegations of Forgery and Conversion

Seasoned broker permanently barred from all securities activity after allegations of conversion and forgery

The Financial Industry Regulatory Authority (FINRA) took action against Raymond James stockbroker Paul Steffany in October of 2015, after allegations surfaced that he illegally converted funds as executor of a client’s trust and forged signatures on checks that were made payable to the individual’s estate. Steffany is permanently barred from all future FINRA activity after consenting to the FINRA findings.

FINRA reports indicate that Paul Steffany acted as the executor and trustee of the estate of a customer from his registered firm, Raymond James. This estate was established for the benefit of the customer’s son and grandchildren. During the time he served in this capacity, he allegedly paid himself $193,900 for his role as trustee between 2007-2014. The FINRA found that a minimum of $112,742 of what converted was excessive given the minimal time and effort devoted to this trust.

Steffany Allegedly Used Funds From Trust For Personal Gain

The reports further reveal that Mr. Steffany would compensate himself by transferring funds from the trust to a different estate account that was not affiliated with Raymond James. He then allegedly wrote checks payable to cash and then used the money to pay his own personal expenses. In addition, documents indicate that Steffany also directed nineteen checks to be deposited to the estate’s brokerage account, totalling $247,000. He allegedly endorsed many of the checks and forged the signature of the co-executor of the trust and also used these funds for personal expenses.

According to FINRA records, Paul Steffany was previously registered with Moors & Cabot, Inc. in Westport, CT from 07/14-10/15 and with Raymond James & Associates Inc. in Wilton, CT from 06/07-06/14. Before his work with Raymond James where the alleged misconduct occurred, Mr. Steffany was registered with A.G. Edwards & Sons Inc. also in Wilton, CT from 02/83-06/07.

Activity like that which Paul Steffany is accused of is clearly outside the bounds of ethical broker conduct. Converting funds for personal use and forging documents are among the most serious unethical actions and clearly takes advantage of unsuspecting and trusting clients. If you feel that you have been taken advantage of by your broker, have lost funds because of dishonest behavior or believe you are the victim of securities fraud, you should consider talking to a lawyer.

Silver Law Group: Experienced Securities Arbitration And Investment Law Firm

Silver Law Group represents individuals who have been taken advantage of by an investment broker or financial advisor. Our team of lawyers are dedicated to helping our clients recover their lost funds. We are an experienced national securities arbitration and investment fraud law firm that has recovered tens of millions of dollars for our clients. We have represented victims of Ponzi schemes, elder investment fraud, accountant malpractice, SEC whistleblower cases and stockbroker misconduct.

The attorneys at Silver Law Group operate on a contingency fee basis, meaning that they do not receive compensation for their work unless they recover lost funds. So, if you want to talk to a member of our team to determine whether it makes sense to pursue a case, call 1-800-975-4345 to set up a time for a free consultation.