Tommy Belesis, the founder of Wall Street brokerage firm John Thomas Financial, is facing disciplinary action from the industry’s watchdog.
Belesis disclosed today that he has received a so-called Wells Notice from the Financial Industry Regulatory Authority, the brokerage industry’s self-regulatory body.
The notice, which was sent to Belesis on Jan. 10, is a warning that Finra’s staff has initiated disciplinary proceedings against him for alleged industry violations, including selling shares held by brokerage before executing client orders.
According to his updated Finra records, Belesis — known for a cameo in Oliver Stone’s “Wall Street: Money Never Sleeps” — is also accused of making “material misrepresentations” to customers about his failure sell their stock as requested. Finra said he “falsified or failed to preserve” records of the order requests.
Belesis, who has admitted to a checkered past of stealing cars and using drugs, was also accused of “using manipulative, deceptive and/or fraudulent means to artificially inflate the price of the stock,” according to the notice.
Belesis, who was presented the Bronx GOP “Man of the Year Award” by Rudy Giuliani in 2009, didn’t immediately return a request for comment, but Wednesday’s notice on his brokerage record said he “intends to contest and defend these allegations vigorously.”
Belesis and his firm are also being probed by the Securities and Exchange Commission and FBI agents in New York. The Post exclusively reported on the investigations last week.
Sources told The Post that the Finra investigation centers on America West Resources Inc., a tiny Salt Lake City, Utah-based coal company that JTF helped raise money for in 2011.
At issue is Belesis and JTF’s sale of a stake in America West during a one-day run up in the stock last February, according to several people familiar with the investigation.
The shares hit $1.29 on Feb. 23 before plummeting to 65 cents the following day. The shares now trade below 20 cents.