TORONTO, June 18, 2012 /CNW/ - An appearance has been scheduled before a
Hearing Panel of the Investment Industry Regulatory Organization of
Canada (IIROC) for the purpose of setting a date for the disciplinary
hearing in the matter of John Edward Brodie.
The discipline hearing concerns allegations Mr. Brodie recommended
unsuitable investments that were heavily concentrated in the
energy/resource sectors, made unsuitable use of leverage for two of
his clients, engaged in discretionary trading in their accounts, and
made personal payments to them without his firm's knowledge or
Set Date Appearance: Friday, June 22, 2012, 10am (Atlantic Daylight Time)
The set date appearance will be conducted via conference call, and is
accessible to the public, unless the Hearing Panel orders otherwise.
Interested members of the public may obtain the conference dial-in
number from IIROC's National Hearing Coordinator by emailing email@example.com. The date for the discipline hearing 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.
Specifically, the allegations are:
Between 2005 and 2009, Mr. Brodie made investment recommendations that
were unsuitable for two clients, contrary to IIROC Dealer Member Rule
1300.1(q) (IDA Regulations 1300.1(q) prior to June 1, 2008).
Between 2005 and 2009, Mr. Brodie made discretionary trades in the
accounts of three clients without first having the accounts approved
and accepted as discretionary accounts, contrary to IIROC Dealer Member
Rule 1300.4 (IDA Regulations 1300.4 prior to June 1, 2008).
Between May 2008 and June 2009, Mr. Brodie personally compensated two
clients for losses in their accounts without the knowledge or approval
of his Member firm, contrary to IIROC Dealer Member Rule 29.1 (IDA
By-law 29.1 prior to June 1, 2008).
IIROC formally initiated the investigation into Mr. Brodie's conduct in
March 2011. The alleged violations occurred when he was a Registered
Representative with the Halifax branch of Canaccord Capital Corp (now
Canaccord Genuity Corp.), an IIROC-regulated firm. Mr. Brodie is
currently a Registered Representative with the Dartmouth branch of
Global Maxfin Capital Inc., an IIROC-regulated firm.
The Notice of Hearing, which sets out the allegations, is available at http://docs.iiroc.ca/DisplayDocument.aspx?DocumentID=AF30674E05864062B317CD8BBFBB5E21&Language=en.
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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, Enforcement
Director, Public Affairs