Financial Advisor Adam Belardino of Maddox Group Reportedly Confesses to Schemes to Defraud Clients and Employees 

Financial advisor Adam Belardino reportedly entered a guilty plea in White Plains NY federal court on October 20, 2022, admitting to allegedly hiding his embezzlement of $313,000 from a 64-year-old client, according to an article in New Rochelle, NY Patch News. 

Adam Belardino, the CEO of the Maddox Group, reportedly pleaded guilty to two counts of wire fraud and one count of making a false statement to the Internal Revenue Service in connection with separate schemes to defraud clients and to fail to pay contributions made by his own Maddox Group employees to their 401(k) plan, according to Damian Williams, the U.S. Attorney for the Southern District of New York. 

Belardino’s alleged scheme was reportedly discovered when his customer asked for her investments to be transferred to a new broker, according to the article.

After he founded the Maddox Group in July 2019 Belardino allegedly convinced his customer to liquidate some of her portfolio and to transfer the liquidated funds to his new firm for investment. She then reportedly transferred more than $313,000 to Maddox in eight separate transactions between August 2019 and October 2020. 

Belardino then purportedly used her money to pay the operating expenses of his new firm, including payroll and office rent, prior debt, credit card charges, and to pay for personal travel. 

The victim never received any funds by wire and the checks Belardino deposited into her bank account were returned because the Maddox account did not have sufficient funds to cover the checks. Belardino also reportedly sent members of the victim’s family a document that falsely stated that the Maddox bank account had sufficient funds to repay the victim. 

Belardino also reportedly confessed to a separate scheme to obtain fraudulent life insurance commissions, and allegedly making false statements in connection with fraudulent withholding of his employees’ 401(k) contributions, purportedly defrauding his employees, according to the article. 

The advisor reportedly faces up to 20 years in prison, according to the article. 

According to his FINRA BrokerCheck report, Belardino was reportedly registered with the following FINRA registered firms, among others during his career in the securities industry:   

 03/25/2017 – 04/16/2019, MML INVESTORS SERVICES, LLC (CRD#:10409), ELMSFORD, NY,    

10/23/2007 – 03/25/2017, MSI FINANCIAL SERVICES, INC. (CRD#:14251), ELMSFORD, NY   

FINRA reportedly barred Belardino from working in the securities industry on September 7, 2021. 

Potential Lawsuits to Recover Financial Losses   

The White Law Group is investigating potential claims involving Adam Belardino and the failure his employers may have for failure to properly supervise him. 

See: Ex-MML Broker Adam Belardino Charged with Defrauding Client of $313,000 

The White Law Group is investigating potential securities fraud lawsuits regarding the liability that Belardino’s employers may have for failure to properly supervise him.     

When brokers and registered investment advisors violate securities laws, such as churning accounts or making unsuitable investment recommendations, the brokerage firm they are working with may be liable for investment losses through FINRA Arbitration. Brokerage firms that fail to monitor the business activities of their employees may be liable for investment losses due to negligent supervision for the misconduct of their employees.              

The White Law Group is a national securities fraud, securities arbitration, and investor protection law firm with offices in Chicago, Illinois and Seattle, Washington. We represent investors in all 50 states including New York. Our attorneys have recovered millions of dollars from many brokerage firms in the past.              

If you are concerned about your investments with Adam Belardino, please call the securities fraud attorneys at The White Law Group at 888-637-5510 for a free consultation.

To learn more about the firm’s investigation, please see: MML Investors Services Broker Adam Belardino Barred from Securities Industry 

The White Law Group, LLC is a national securities fraud, securities arbitration, investor protection, and securities regulation/compliance law firm with offices in Chicago, Illinois and 
Seattle, Washington. To learn more about The White Law Group visit www.whitesecuritieslaw.com.