CALGARY, April 25, 2014 /CNW/ - A hearing has been scheduled before a Hearing Panel of the Investment Industry Regulatory Organization of Canada (IIROC) in the matter of Grant Patrick Matthews.
The hearing concerns allegations stemming from Mr. Matthews' handling of the accounts of four of his clients. They involve unsuitable recommendations, discretionary trades, failure to know his clients, and churning in the accounts of three clients.
The hearing is open to the public, unless the Panel orders otherwise. The decision of the Hearing 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.
September 22 – 26, 2014, at 10:00 a.m.
Telus Convention Centre
Room: Glen 206
120 – 9TH Avenue SE
Specifically, the allegations are that:
- Between approximately March 2004 and May 2012, Mr. Matthews failed to use due diligence to learn and remain informed of the essential facts relative to four clients, contrary to Dealer Member Rule 1300.1(a) [IDA Regulation 1300.1(a) prior to June 1, 2008];
- Between approximately January 2009 and May 2012, Mr. Matthews failed to use due diligence to ensure that recommendations were suitable for four clients, based on factors including the client's financial situation, investment knowledge, investment objectives and risk tolerance, contrary to IIROC Dealer Member Rule 1300.1(q);
- Between approximately June 2009 and May 2012, Mr. Matthews engaged in discretionary trading with respect to the accounts of three clients, without being authorized and approved as having discretionary authority, contrary to Dealer Member Rule 1300.4; and
- From January 2009 and March 2011, Mr. Matthews engaged in improper practices by excessively trading in (churning) the accounts of three clients, for the sole purpose of generating additional commissions, contrary to Dealer Member Rules 1300.1(o) and 29.1.
IIROC formally initiated the investigation into Mr. Matthews' conduct in August 2012. The alleged violations occurred while he was a Registered Representative with the Calgary branch of Leede Financial Markets Inc., an IIROC-regulated firm. Mr. Matthews is still a Registered Representative with the Calgary branch of Leede Financial Markets Inc.
The Notice of Hearing which sets out the allegations is available at: http://docs.iiroc.ca/DisplayDocument.aspx?DocumentID=5E35EE7B0A064618A4F3B90971A9EF33&Language=en
* * *
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: Enforcement Contact: Warren Funt, Vice President, Western Canada, 604 331-4750, firstname.lastname@example.org; Media Contact: Karen Archer, Senior Media and Public Affairs Specialist, 416 865-3046, email@example.com