Hamilton-Shea employed two former honchos of the notorious Joseph Roberts & Co. penny-stock firm, Joseph DeSanto and Robert B. DiMarco Jr., who shifted to Hamilton-Shea after the demise of "Jay-Rob." According to the Securities and Exchange Commission in civil proceedings against
, the two men were undisclosed principals of Hamilton-Shea while Bales was working there. They almost certainly would have hired him, and guided the young man in this early stage of his career.
DeSanto and DiMarco pleaded guilty to federal fraud charges in 2002 and 2001, respectively, during a nationwide crackdown on penny-stock firms. DeSanto was sentenced to five years in prison, while DiMarco was let off relatively easy, with five years probation.
According to my source, DeSanto and DiMarco were involved with Abramo and his deputy, Phil Gurian, during their Joseph Roberts days, but not at Hamilton-Shea. So that means Bales was spared the dubious pleasure of dealing with the smooth-talking, college-educated Abramo, who, along with Gurian, was later convicted of multiple securities fraud counts. Abramo remains in prison.
Bales left Hamilton-Shea in January 1997, according to FINRA records, but there is evidence that he did not leave the Hamilton-Shea orbit. His next stop was in Columbus, Ohio, where he worked for a firm called Quantum Capital Corp. According to FINRA records, Hamilton-Shea is known by another name -- Quantum Capital Corp. The Quantum that employed Bales and Hamilton-Shea have different CRD and SEC numbers, but this seems to be more than just a coincidence, even if they were separately organized.
Bales left Quantum Capital to join Michael Patterson Inc., also in Columbus. He was with that firm when he got in the hot water that led to the arbitration case. He worked there from March 1996 to October 1999. Quantum and Michael Patterson were not total strangers. According to NASD disciplinary records, the principal of Michael Patterson Inc., the eponymous Michael Patterson, had formerly been employed by Quantum. As I'll describe later, the two firms were both swept together in an NASD disciplinary action.
After leaving Michael Patterson Inc. in October 1999, Bales went over to another Ohio firm called Capital Securities of America, where he worked for 10 months, and then moved to his final employer in the securities industry, Quantum Securities Corp. He was there from September through December 2000, after which he dropped out of sight, as far as securities employment is concerned.