TORONTO, Sept. 26, 2012 /CNW/ - The MFDA today announced that it has
commenced disciplinary proceedings in respect of Arthur George Pretty
(the "Respondent"). MFDA Staff alleges in its Notice of Hearing that
the Respondent engaged in the following conduct contrary the By-laws,
Rules or Policies of the MFDA:
Allegation #1: Between March 2005 and July 2008, the Respondent recommended and
facilitated a leveraged investment strategy for at least 6 clients
without performing the necessary due diligence to learn the essential
facts relative to the clients, and without ensuring that the leveraged
investment strategy was suitable for the clients and in keeping with
the clients' investment objectives, contrary to MFDA Rules 2.2.1 and
Allegation #2: Between March 2005 and July 2008, the Respondent misrepresented or
failed to adequately explain the benefits, risks, material assumptions
and features of a leveraged investment strategy and its underlying
investments to at least 6 clients, thereby failing to present the
leveraged investment strategy to the clients in a fair and balanced
manner, contrary to MFDA Rule 2.1.1.
Allegation #3: Commencing September 14, 2010, the Respondent failed to comply with
multiple requests to provide a written statement to the MFDA in
response to client complaints and to attend at an interview requested
by the MFDA during the course of the investigation, contrary to section
22.1 of MFDA By-law No. 1.
The first appearance in this matter will take place by teleconference
before a Hearing Panel of the MFDA's Atlantic Regional Council on
October 26, 2012 at 10:00 a.m. (Atlantic) in order to schedule a date
for the hearing of this matter on its merits and to address any other
procedural matters. The first appearance will be open to the public,
except as may be required for the protection of confidential matters.
A copy of the Notice of Hearing is available on the MFDA website at www.mfda.ca.
The MFDA is the self-regulatory organization for Canadian mutual fund
dealers, regulating the operations, standards of practice and business
conduct of its 120 Members and their approximately 75,000 Approved
Persons with a mandate to protect investors and the public interest.
SOURCE: Mutual Fund Dealers Association of Canada
For further information:
416-943-4672 or firstname.lastname@example.org