TORONTO, Feb. 9 /CNW/ - A Hearing Panel of the Investment Industry
Regulatory Organization of Canada has found that James Charles Dennis
entered into a business referral arrangement with another industry
participant for which he received compensation and about which he
failed to inform his firm.
The panel announced its findings in a decision dated January 21, 2011. The panel will meet at a future date to
determine the appropriate penalty.
Specifically, the panel found that Mr. Dennis entered into an
arrangement in which he referred clients to a mutual fund advisor and
received commission earnings in return. Between June 2007 and October
2008, Mr. Dennis received total commissions in excess of $300,000. Mr.
Dennis did not disclose this arrangement or the compensation to his
employer, despite completing annual questionnaires for his firm about
outside business activities. The panel found that his actions
constituted conduct unbecoming or detrimental to the public interest,
contrary to IIROC Rule 29.1.
IIROC began its investigation into Mr. Dennis' conduct on October 24,
2008. The violation occurred while he was a Registered Representative
with the Toronto branch of IPC Securities Corp., an IIROC-regulated
firm. He is no longer registered with an IIROC-regulated firm.
* * *
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 and permanent bans or
terminations 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.
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.
SOURCE Investment Industry Regulatory Organization of Canada (IIROC) - General News
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