Finra arbitrators slap $1.46 million award on former Cadaret broker

Finra arbitrators awarded an investor $1.462 million against a former Cadaret, Grant & Co. broker who failed to appear at the arbitration hearings. The investor, Janet Zagaro, filed a claim in April 2018 against Cadaret, Grant, as well as its former broker Steven Pagartanis, alleging misrepresentation, omission, failure to supervise and breach of fiduciary duty. She sought damages of $2.7 milliion. The two-person Financial Industry Regulatory Authority Inc. panel on June 26 found Mr. Pagartanis liable and awarded Ms. Zagaro $1.462 million in compensatory damages. In February, Ms. Zagaro discontinued her claims against Cadaret, which denied her allegations. Mr. Pagartanis, who is now barred from the industry, worked for 14 firms over 28 years and had 17 disciplinary disclosures on his BrokerCheck profile. It's not clear whether Ms. Zagaro will be able to collect the arbitration award from Mr. Pagartanis. He pleaded guilty in a New York court last December to orchestrating a multi-million-dollar Ponzi scheme. Attempts to reach Ms. Zagaro's lawyer were unsuccessful. A lawyer for Cadaret declined to comment.