SEC Bars Former LPL Broker and Bank Manager Convicted of Embezzlement
The Securities and Exchange Commission has barred Stephen Thomas Carbonella, a former LPL Financial broker and bank manager who was sentenced last month to 21 months in prison for embezzlement.
The Securities and Exchange Commission has barred Stephen Thomas Carbonella, a former LPL Financial broker and bank manager who was sentenced last month to 21 months in prison for embezzlement.
Carbonella, who was associated with the nation’s largest independent broker-dealer from October 2011 to September 2015, was convicted of stealing $879,000 from certificate of deposit accounts at Webster Bank Corporation, where he served as bank manager.
According to court documents and statements made in court, between approximately 2003 and 2017, Carbonella withdrew $879,016.48 from approximately 20 account holders, without their knowledge or consent, and used the embezzled funds for his own purposes. He also took steps to conceal his misconduct, including by forging signatures and falsifying documents.
U.S. District Judge Robert Chatigny sentenced Carbonella to 21 months of imprisonment, followed by three years of supervised release, with the first six months served in home confinement. Judge Chatigny also ordered Carbonella to pay full restitution to his victims.
On September 12, 2018, Carbonella pleaded guilty to one count of embezzlement by a bank officer or employee. He was released on a $200,000 bond and is required to report to prison on January 29, 2019.
