VANCOUVER, June 17 /CNW/ - A Hearing Panel of the Investment Industry Regulatory Organization of Canada (IIROC) has accepted a settlement agreement, which includes sanctions, between IIROC staff and Karen Marie Young.
Ms. Young admitted she failed to meet IIROC's know your client obligations by not taking sufficient steps to obtain documents and details for the corporate cash accounts of two clients based in the Turks and Caicos Islands and the British Virgin Islands. In doing so, she acted contrary to IIROC Rule 1300.1(a).
In the agreement, Ms. Young agreed to a four-month ban (which is to not run concurrent with any other ban) from receiving registration approval in any capacity with an IIROC-regulated dealer firm; to pay a fine of $15,000; and to pay costs of $2,500. The Hearing Panel accepted the agreement on June 2, 2010.
"Notwithstanding (Ms.) Young's failure to meet the standard required of her in her role as a gatekeeper ...," the agreement notes that her "failure was not intentional." Further, her firm, Golden Capital Securities Ltd., did not ask her to obtain more information about the accounts and approved their opening, it says.
IIROC began the investigation into Ms. Young's conduct in September of 2006. The violations occurred when she was a Registered Representative employed with the 1177 West Hastings Street offices of Golden in Vancouver. Ms. Young is not currently registered in any capacity with an IIROC-regulated firm.
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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