VANCOUVER, March 1, 2013 /CNW/ - A hearing was originally scheduled
before a Hearing Panel of the Investment Industry Regulatory
Organization of Canada (IIROC), in the matter of Lawrence Bradley Chang
on February 18, 2013. The hearing has been adjourned to April 16, 2013.
The hearing concerns allegations that Mr. Chang executed discretionary
transactions in a client account with his client's consent, but without
the knowledge of his firm. Mr. Chang made other transactions in the
same account without the client's consent or knowledge. He
subsequently misrepresented the number of shares of one security held
in the account in order to hide those unauthorized transactions.
The hearing is open to the public, unless the panel orders otherwise.
The decision of the panel will be made available at www.iiroc.ca.
Documents related to ongoing IIROC enforcement proceedings - including
Reasons and Decisions of Hearing Panels - are posted on the IIROC
website as they become available. Click here to search and access all IIROC enforcement documents.
April 16-18, 2013, 10:00 a.m.
UBC Robson Square,
800 Robson Street, Room C400
Specifically, the allegations are that:
From November 2006 through March 2008, Mr. Chang engaged in
discretionary trading in a client account without first having the
account approved and accepted as a discretionary account, contrary to
IDA Regulation 1300.4.
From December 31, 2007 through March 28, 2008, Mr. Chang purchased a
combined total of approximately $498,160 of one security in a client
account without authorization from the client, contrary to IDA By-law
From January 2008 through May 2008, Mr. Chang, contrary to IDA By-law
29.1, made misrepresentations to a client regarding the number of
shares held in the client's account in order to hide the fact that he
had made unauthorized purchases of a security.
IIROC formally initiated the investigation into Mr. Chang's conduct in
January 2010. The alleged violations occurred when he was a Registered
Representative with the Vancouver branch of Canaccord Genuity Corp., an
IIROC-regulated firm. Mr. Chang is no longer a registrant with an
The Notice of Hearing which sets out the allegations is available at:
* * *
IIROC is the national self-regulatory organization which oversees all
investment dealers and trading activity on debt and equity marketplaces
in Canada. Created in 2008 through the consolidation of the Investment
Dealers Association of Canada and Market Regulation Services Inc.,
IIROC sets high quality regulatory and investment industry standards,
protects investors and strengthens market integrity while maintaining
efficient and competitive capital markets.
IIROC carries out its regulatory responsibilities through setting and
enforcing rules regarding the proficiency, business and financial
conduct of dealer firms and their registered employees and through
setting and enforcing market integrity rules regarding trading activity
on Canadian equity marketplaces.
IIROC investigates possible misconduct by its member firms and/or
individual registrants. It can bring disciplinary proceedings which may
result in penalties including fines, suspensions, permanent bars,
expulsion from membership, or termination of rights and privileges for
individuals and firms.
All information about disciplinary proceedings relating to current and
former member firms is available in the Enforcement section of the IIROC website. Background information regarding the
qualifications and disciplinary history, if any, of advisors currently
employed by IIROC-regulated firms is available free of charge through
the IIROC AdvisorReport service. Information on how to make investment dealer, advisor or
marketplace-related complaints is available by calling 1.877.442.4322.
SOURCE: Investment Industry Regulatory Organization of Canada (IIROC) - General News
For further information:
Vice President, Western Canada
Public Affairs Specialist