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John Thomas Financial Refugees Now Have To Stand *And* Salute The Flag While Cold-Calling

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According to Bloomberg, "dozens brokers from John Thomas Financial have found new employers in New York’s financial district," following the closing of their homeland, the boiler room founded by Anastasios "Tommy" Belesis, accused of fraud (and threatening to hit someone with this car) this past spring. While other shops receiving the former JTF employees' resumes discarded them with prejudice, figuring anyone working for a guy threatening to run people over in the street probably issued similar threats of their own, Mark Goldwasser, CEO of National Securities, knew to do so would make George Washington cry and Thomas Jefferson roll over in his grave, telling reporter Zeke Faux, "it's not true, not fair, and un-American" to assume they engaged in wrongdoing." Although there'll presumably be an adjustment period as everyone gets comfortable in their new home, the JTF'ers can take heart knowing Goldwasser holds cold-calling in an even higher regard than their old boss.

George and John Belesis, brothers of John Thomas founder Tommy Belesis, moved about seven blocks from their old office on Wall Street to join Portfolio Advisors Alliance Inc. in June along with 14 colleagues, according to Financial Industry Regulatory Authority records. At least 16 other ex-John Thomas brokers have joined National Securities Corp. this year, most at 80 Broad St., five blocks away from the defunct firm’s offices, the records show...John Thomas, accused by regulators of defrauding investors in a penny stock and charging inflated fees to a hedge fund, took more than $100 million in commissions over its six-year history. Trainees generally weren’t given chairs and earned as little as $300 a week to pitch stocks with memorized scripts, Bloomberg News reported in February.

That training at John Thomas included using high-pressure sales tactics to approach hundreds of strangers a day, ex-employees said in February. Junior brokers were told they had to stand to sound more animated, they said. John Thomas told regulators it was withdrawing from the securities business last month, the records show. There’s nothing wrong with calling strangers to pitch them stock, National Securities’ Goldwasser said. “Let me tell you something, I get cold-called by all the wirehouses all the time,” he said, referring to the biggest brokerages. “Cold calling, that’s the American way.”

You might even go so far as to say it's unpatriotic not to cold call.

Belesis Brothers Join New Broker After John Thomas Closes [Bloomberg]
Earlier: John Thomas Financial Power Phrase #32: “We Know What We’re Doing”; If Threatening To Hit An Employee With His Car Is Wrong, Tommy Belesis Doesn’t Want to Be Right; “Brokers who show up with stubble are sent to the bathroom, where a bow-tied attendant dispenses razors, cologne and candy.”