JOINT SETTLEMENT RECOMMENDATION. 2. Staff conducted an investigation of the Respondent’s activities. The investigation disclosed that the Respondent had engaged in activity for which the Respondent could be penalized on the exercise of the discretion of the Hearing Panel pursuant to s. 24.1 of By-law No. 1.
3. Staff and the Respondent recommend settlement of the matters disclosed by the investigation in accordance with the terms and conditions set out below. The Respondent agrees to the settlement on the basis of the facts set out in Part IV herein and consents to the making of an Order in the form attached as Schedule “A”.
4. Staff and the Respondent agree that the terms of this Settlement Agreement, including the attached Schedule “A”, will be released to the public only if and when the Settlement Agreement is accepted by the Hearing Panel.
JOINT SETTLEMENT RECOMMENDATION. 3. Staff and the Respondent jointly recommend that the Hearing Panel accept the Settlement Agreement.
4. The Respondent admits to the following violations of the By-laws, Rules or Policies of the Mutual Fund Dealers Association of Canada (“MFDA”):
a) between December 2003 and September 2015, the Respondent obtained, possessed and, in some instances, used to process transactions, 15 pre-signed account forms in respect of 10 clients, contrary to MFDA Rule 2.1.1;
b) between December 2003 and September 2015, the Respondent altered 17 account forms in respect of 10 clients by altering information on the account forms without having the clients initial the alterations, contrary to MFDA Rule 2.1.1; and
c) on or about February 24, 2008, the Respondent photocopied a completed account form signed by a client, used liquid correction fluid to change the client instructions on the photocopied form, and submitted the account form for processing, contrary to MFDA Rule 2.1.1.
5. Staff and the Respondent agree and consent to the following terms of settlement:
a) the Respondent shall pay a fine in the amount of $12,500 in certified funds upon acceptance of the Settlement Agreement, pursuant to s. 24.1.1(b) of MFDA By-law No.1;
b) the Respondent shall pay costs in the amount of $2,500 in certified funds upon acceptance of the Settlement Agreement, pursuant to s. 24.2 of MFDA By-law No.1;
c) the Respondent shall in the future comply with MFDA Rule 2.1.1; and
d) the Respondent will attend in person, on the date set for the Settlement Hearing.
6. Staff and the Respondent agree to the settlement on the basis of the facts set out in Part III herein and consent to the making of an Order in the form attached as Schedule “A”.
JOINT SETTLEMENT RECOMMENDATION. 3. Staff and the Respondent jointly recommend that the Hearing Panel accept the Settlement Agreement.
4. The Respondent admits to the following violations of the By-laws, Rules or Policies of the MFDA:
a) between January 2012 and May 2015, the Respondent obtained, possessed, and in some instances, used to process transactions, 16 pre-signed account forms in respect of 10 clients, contrary to MFDA Rule 2.1.1.
5. Staff and the Respondent agree and consent to the following terms of settlement:
(a) the Respondent shall pay a fine in the amount of $5,000 pursuant to s. 24.1.1(b) of MFDA By-law No. 1;
(b) the Respondent shall pay costs in the amount of $2,500 pursuant to s. 24.2 of MFDA By-law No. 1;
(c) the Respondent shall in the future comply with MFDA Rule 2.1.1; and
(d) the Respondent will attend in person, on the date set for the Settlement Hearing.
6. Staff and the Respondent agree to the settlement on the basis of the facts set out in Part III herein and consent to the making of an Order in the form attached as Schedule “A”.
JOINT SETTLEMENT RECOMMENDATION. 3. Staff and the Respondent jointly recommend that the Hearing Panel accept the Settlement Agreement.
4. The Respondent admits to the following violations of the By-laws, Rules or Policies of the Mutual Fund Dealers Association of Canada (“MFDA”):
a) between September 2010 and January 2017, the Respondent obtained, possessed and, in some instances, used to process transactions, 36 pre-signed account forms in respect of 10 clients, contrary to MFDA Rule 2.1.1; and
b) between September 2010 and January 2017, the Respondent, in his capacity as branch manager, reviewed and approved the use of 36 pre-signed account forms, contrary to MFDA Rules 2.5.5(f)1 and 2.1.1.
5. Staff and the Respondent agree and consent to the following terms of settlement:
a) the Respondent shall pay a fine in the amount of $12,500 upon acceptance of the Settlement Agreement (the “Fine”), pursuant to s. 24.1.1(b) of MFDA By-law No. 1;
b) the Respondent shall be prohibited from acting as a branch manager for a period of 6 months, commencing the date of the order of the Hearing Panel accepting the Settlement Agreement pursuant s. 24.1.1(e) of MFDA By-law No. 1;
c) the Respondent shall pay costs in the amount of $2,500 upon acceptance of the Settlement Agreement (“Costs”), pursuant to s. 24.2 of MFDA By-law No. 1;
d) the Respondent’s payment of the Fine and Costs shall be made in certified funds and received by the MFDA as follows:
i. Costs upon acceptance of the Settlement Agreement by the Hearing Panel;
ii. $4,000 (Fine) on or before the last business day of the third month from the date of the order of the Hearing Panel accepting the Settlement Agreement;
iii. $4,000 (Fine) on or before the last business day of the sixth month from the date of the order of the Hearing Panel accepting the Settlement Agreement;
iv. $4,500 (Fine) on or before the last business day of the ninth month from the date of the order of the Hearing Panel accepting the Settlement Agreement;
1 Rule 2.5.5(f) has been renumbered during the period of the Respondent’s conduct described in this Settlement Agreement. Prior to September 2013, the Respondent’s conduct was contrary to MFDA Rule 2.5.5(d).
e) the Respondent shall in the future comply with MFDA Rules 2.1.1 and 2.5.5; and
f) the Respondent will attend in person, on the date set for the Settlement Hearing.
6. Staff and the Respondent agree to the settlement on the basis of the facts set out in Part III herein and consent to the making of an Order in the form atta...
JOINT SETTLEMENT RECOMMENDATION. 3. Staff and the Respondent jointly recommend that the Hearing Panel accept the Settlement Agreement.
4. The Respondent admits to the following violations of the By-laws, Rules or Policies of the MFDA: 1 The initial Settlement Agreement has been replaced by this Settlement Agreement to correct a clerical error identified in paragraph 8 on page 3 (under Agreed Facts).
a) between October 2010 and December 2015, the Respondent obtained, possessed, and in some instances, used to process transactions, 15 pre-signed account forms in respect of 11 clients, contrary to MFDA Rule 2.1.1; and
b) in April 2013 and in May 2015, the Respondent altered 2 account forms in respect of 1 client by altering information on the account forms without having the client initial the alterations, contrary to MFDA Rule 2.1.1.
5. Staff and the Respondent agree and consent to the following terms of settlement:
a) the Respondent shall pay a fine in the amount of $7,500 pursuant to section 24.1.1(b) of By-law No. 1;
b) the Respondent shall pay costs in the amount of $2,500, pursuant to section 24.2 of By-law No. 1;
c) the payment by the Respondent of the Fine and Costs shall be made to and received by MFDA Staff in certified funds as follows:
i. $2,500 (Costs) upon acceptance of the Settlement Agreement by the Hearing Panel;
ii. $2,500 on or before the last business day of the first month following the date of Settlement Agreement;
iii. $2,500 on or before the last business day of the second month following the date of Settlement Agreement;
iv. $2,500 on or before the last business day of the third month following the date of Settlement Agreement;
d) if the Respondent fails to make any of the payments described in subparagraph 5(c):
i. any outstanding balance of the Fine and Costs owed by the Respondent shall become immediately due and payable to the MFDA; and
ii. the Respondent shall be suspended from conducting securities related business while in the employ of or associated with a Member of the MFDA until such time as the total amount outstanding of the Fine and Costs owed by the Respondent is paid to the MFDA, pursuant to s. 24.3.13(c) of MFDA By-law No. 1;
e) the Respondent shall in the future comply with MFDA Rules 2.1.1; and
f) The Respondent will attend the Settlement Hearing in person.
6. Staff and the Respondent agree to the settlement on the basis of the facts set out in Part III herein and consent to the making of an Order in the form attached as Schedule “A”.
JOINT SETTLEMENT RECOMMENDATION. 3. Staff and the Respondent jointly recommend that the Hearing Panel accept the Settlement Agreement.
4. The Respondent admits to the following violations of the By-laws, Rules or Policies of the MFDA:
a) between June 2002 and March 2014, the Respondent opened a client account, updated the client’s Know-Your-Client information on three occasions and processed trades in the client’s account without having communicated directly with the client, thereby failing to use due diligence to learn the essential facts relative to the client and to each order or account accepted, contrary to MFDA Rules 2.2.1 and 2.1.1.
5. Staff and the Respondent agree and consent to the following terms of settlement:
(a) the Respondent shall pay a fine in the amount of $15,000 pursuant to s. 24.1.1(b) of MFDA By-law No. 1;
(b) the Respondent shall pay costs in the amount of $2,500 pursuant to s. 24.2 of MFDA By-law No. 1;
(c) the Respondent shall in the future comply with MFDA Rules 2.2.1 and 2.1.1; and
(d) the Respondent will attend in person on the date set for the Settlement Hearing.
6. Staff and the Respondent agree to the settlement on the basis of the facts set out in Part III herein and consent to the making of an Order in the form attached as Schedule “A”.
JOINT SETTLEMENT RECOMMENDATION. 3. Staff and the Respondent jointly recommend that the Hearing Panel accept the Settlement Agreement.
4. The Respondent admits to the following violations of the By-laws, Rules or Policies of the MFDA:
a) between February 2013 and May 2016, the Respondent altered 14 account forms in respect of 12 clients by altering information on the account forms without having the clients initial the alterations, contrary to MFDA Rule 2.1.1; and
b) between January 2009 and January 2016, the Respondent obtained, possessed, and used to process transactions, 10 pre-signed account forms in respect of 6 clients, contrary to MFDA Rule 2.1.1.
5. Staff and the Respondent agree and consent to the following terms of settlement:
a) the Respondent shall pay a fine in the amount of $14,500 in certified funds upon acceptance of the Settlement Agreement, pursuant to s. 24.1.1.(b) of MFDA By- law No. 1;
b) the Respondent shall pay costs in the amount of $2,500 in certified funds upon acceptance of the Settlement Agreement, pursuant to s. 24.2 of MFDA By-law No. 1;
c) the Respondent shall in the future comply with MFDA Rule 2.1.1; and
d) the Respondent will attend in person, on the date set for the Settlement Hearing.
6. Staff and the Respondent agree to the settlement on the basis of the facts set out in Part III herein and consent to the making of an Order in the form attached as Schedule “A”.
JOINT SETTLEMENT RECOMMENDATION. 2. Staff of the Commission (“Staff”) agree to recommend settlement of the proceeding initiated in respect of XxXxxxxxxx by the Notice of Hearing in accordance with the terms and conditions set out below. XxXxxxxxxx consents to the making of an order against him in the form attached as Schedule “A” on the basis of the facts set out below.
JOINT SETTLEMENT RECOMMENDATION. Staff conducted an investigation of the Respondent’s activities. The investigation disclosed that the Respondent had engaged in activity for which the Respondent could be penalized on the exercise of the discretion of the Hearing Panel pursuant to s. 24.1 of By-law No. 1. 3. Staff and the Respondent recommend settlement of the matters disclosed by the investigation in accordance with the terms and conditions set out below. The Respondent agrees to the settlement on the basis of the facts set out in Part IV herein and consents to the making of an Order in the form attached as Schedule “A”.
JOINT SETTLEMENT RECOMMENDATION. 3. Staff and the Respondent jointly recommend that the Hearing Panel accept the Settlement Agreement.
4. The Respondent admits to the following violations of the By-laws, Rules or Policies of the MFDA:
a) between May 2014 and March 2015, the Respondent obtained, possessed, and used to process trades, 5 pre-signed account forms in respect of 5 clients, contrary to MFDA Rule 2.1.1;
b) between May 2014 and March 2015, the Respondent falsified, and used to process trades, 4 account forms in respect of 2 clients, by altering the account forms without having the clients initial the alterations, contrary to MFDA Rule 2.1.1; and
c) on November 4, 2014, the Respondent misled the Member on its annual registration questionnaire when she indicated to the Member that she did not control or possess any pre-signed account forms, contrary to MFDA Rule 2.1.1
5. Staff and the Respondent agree and consent to the following terms of settlement:
a) the Respondent shall pay a fine in the amount of $11,500, pursuant to section 24.1.1(b) of By-law No. 1;
b) the Respondent shall pay costs in the amount of $2,500, pursuant to section 24.2 of By-law No. 1;
c) the Respondent shall in the future comply with MFDA Rule 2.1.1; and
d) the Respondent will attend the Settlement Hearing in person.
6. Staff and the Respondent agree to the settlement on the basis of the facts set out in Part III herein and consent to the making of an Order in the form attached as Schedule “A”.
