The allegations read: Colletti was named a respondent in a finra complaint alleging that he failed to reasonably supervise cold callers in his branch office that he had hired without following his member firm's procedures. The complaint alleges that colletti was the designated supervisor and branch office manager for the office opened by his firm. Because of colletti's failure to enforce the firm's written supervisory procedures (wsps) regarding hiring practices, including those specific to cold callers, the firm was unaware of some of the cold callers for months after they began working in the branch, if at all, and some of the cold callers were not subject to a background check, much less approved by the firm's hiring committee. Despite working in the same room as the cold callers, colletti either missed or did not act upon red flags that the cold callers were engaging in impermissible activities. Because colletti did not reasonably supervise the cold callers, some of the cold callers' unauthorized scripts contained misrepresentations and improper questions.
