CALGARY, May 5 /CNW/ - A Hearing Panel of the Investment Industry Regulatory Organization of Canada (IIROC) has accepted a settlement agreement between IIROC staff and Ross Patrick Ewaniuk. Mr. Ewaniuk has admitted to breaching his gatekeeper duties with respect to transactions in certain stocks.
Sanctions against Mr. Ewaniuk agreed to as part of the April 29, 2010 settlement, include:
(a) A fine in the amount of $27,500;
(b) A one-year suspension of Mr. Ewaniuk's registration in all IIROC
approval capacities, effective from the date of the agreement;
(c) As a condition to re-approval in any IIROC capacity, Mr. Ewaniuk
shall successfully complete IIROC's Conduct and Practices Handbook
(d) As a condition to re-approval in any IIROC capacity, Mr. Ewaniuk
shall be subject to a period of one year of strict supervision.
The agreement also stipulates Mr. Ewaniuk pay a portion of IIROC's legal costs, totaling $5,000. Written reasons for the Hearing Panel's decision will be published when available.
Mr. Ewaniuk has admitted that between 2004 and 2006, while registered at Northern Securities Inc., an IIROC-regulated firm, he facilitated and participated in transactions without making adequate inquiries in his role as gatekeeper in the capital markets. He thereby engaged in conduct unbecoming or detrimental to the public interest, under IIROC (and predecessor organization the Investment Dealers Association of Canada) Rule 29.1.
The activity involved transactions of three U.S. pink-sheet stocks - Sure Trace Security Corporation, Tango Incorporated and Victory Capital Holdings Corporation - in four client accounts and Mr. Ewaniuk's corporate investment account. Mr. Ewaniuk failed to make adequate inquiries as to whether or not the securities:
(i) Were eligible to be distributed by the seller and/or transferor;
(ii) Were eligible for purchase or receipt by the clients and his
corporate investment account; and
(iii) Were eligible for sale into the market.
Mr. Ewaniuk is no longer a registrant 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
For further information: For further information: Warren Funt, Vice President, Western Canada, (604) 331-4750, email@example.com; Jeff Kehoe, Acting Vice President, Enforcement, (416) 943-6996, firstname.lastname@example.org