VANCOUVER, May 2 /CNW/ - A Hearing Panel of the Investment Industry
Regulatory Organization of Canada (IIROC) accepted a Settlement
Agreement, with sanctions that include a permanent ban on registration,
between IIROC staff and Marcel Anil Rada.
In the agreement, Mr. Rada admitted he violated IIROC rules through his participation in
various off-book transactions without the knowledge or consent of his
firm, issued a personal cheque from a closed account and failed to
cooperate with IIROC's investigation. The panel's decision and reasons
will be made available at www.iiroc.ca.
Mr. Rada agreed to the following sanctions:
a permanent prohibition from registration in any capacity with an
a fine in the amount of $75,000; and
costs in the amount of $10,000.
Specifically, Mr. Rada admitted that he contravened IIROC Rule 29.1 by:
soliciting monies for off-book investments in Ialta Industries Ltd. when
in fact he was the primary beneficiary of those monies;
soliciting monies from an investor for an off-book transaction in
Montrose Explorations Ltd. when in fact he was the primary beneficiary
of that money and he failed to cause Montrose to issue shares to that
investor as part of that investment;
soliciting monies for an off-book investment; and
issuing a personal cheque for $30,000 to an investor in re-payment of a
short-term loan to Montrose on a personal bank account he knew or ought
to have known had been closed two months earlier.
Mr. Rada also admitted that from November 14, 2008 to August 25, 2010,
he failed to co-operate with IIROC's investigation, contrary to IIROC Rule 19.5 by failing to produce banking records and by failing to attend a
The Rule 29.1 violations occurred in 2007 when Mr. Rada was a Registered
Representative with the Vancouver branches of Wolverton Securities
Ltd., and subsequently, Global Securities Corporation, both
IIROC-regulated firms. IIROC began the investigation into Mr. Rada's
conduct on May 16, 2008. Mr. Rada is no longer a registrant with an
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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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