VANCOUVER, Feb. 21 /CNW/ - A Hearing Panel of the Investment Dealers
Association of Canada (IDA) appointed pursuant to By-law 20 has imposed
discipline penalties on Raymond James Ltd., a Member of the IDA.
Following a settlement hearing, the Hearing Panel considered, reviewed,
and accepted a Settlement Agreement negotiated between staff of the IDA and
Raymond James Ltd. Pursuant to the Agreement, Raymond James Ltd. admitted that
between May 6, 2002 and September 29, 2003, it violated By-law 29.1 by
facilitating purchases of shares of certain private companies in client RRSP
accounts without having sufficient systems and procedures in place to ensure
the adequate review and supervision of the transactions and by failing to
ensure adequate account opening and transactional supervision in the client
RRSP accounts. The transactions in the client RRSP accounts were part of an
RRSP stripping scheme.
The Ontario Securities Commission referred this matter to the IDA in
For its misconduct, Raymond James Ltd. has been fined $140,000 and is
required to pay $10,000 in costs.
The Investment Dealers Association of Canada (IDA) is the national
self-regulatory organization of the securities industry. The IDA's mission is
to protect investors, foster market integrity and enhance the efficiency and
competitiveness of the Canadian capital markets. The IDA enforces rules and
regulations regarding the sales, business and financial practices of its
Member firms and their approved persons. Investigating complaints and
disciplining Members and approved persons is part of the IDA's regulatory
role. It is IDA policy to ensure that where relevant, referrals to the
appropriate policing authority are made.
For further information:
For further information: Warren Funt, Vice-President, Western Canada,
(604) 331-4750 or firstname.lastname@example.org; Jeff Kehoe, Director, Enforcement Litigation,
(416) 943-6996 or email@example.com