In the matter of André Bergeron - Discipline



    MONTREAL, Aug. 21 /CNW/ - Following a disciplinary hearing held on March
26 and 27, April 16, 17 and 29, and May 2, 5 and 9, 2008 in Montreal, Quebec,
a Hearing Panel of the Investment Dealers Association of Canada (IDA) found
that André Bergeron (the "Respondent") was guilty on Counts 2 and 4 as
alleged, in that:

    
    -   Count 2: Between November 2001 and May 2002, the Respondent, while
        employed as a registered representative at Desjardins Securities
        Inc., a Member of the Association, engaged in business conduct or
        practice unbecoming, failed in his duty to protect the public and
        showed wilful blindness, contrary to Association By-law 29.1, by
        systematically opening 47 new delivery-against-payment accounts with
        Desjardins Securities Inc. for accounts held with B2B Trust, at the
        request of a third party, without having met or spoken with each of
        the clients, although he knew or should have known that the
        circumstances surrounding the new client applications were or could
        be an indication of suspicious activity or activity contrary to the
        interests of the clients;

    -   Count 4: Between November 2001 and May 2002, the Respondent, while
        employed as a registered representative at Desjardins Securities
        Inc., a Member of the Association, engaged in business conduct or
        practice unbecoming or detrimental to the public interest, contrary
        to Association By-law 29.1, by failing to advise 47 clients for whom
        he had opened delivery-against-payment accounts with Desjardins
        Securities Inc. for accounts held with B2B Trust, in the following
        circumstances:

        (a)   upon the purchase of private placements by two of his clients
              while he was employed as their registered representative and
              although he knew or should have known that the circumstances
              surrounding such private placements were or could be an
              indication of suspicious activity or activity contrary to the
              interests of the said clients;

        (b)   by holding accounts, most of which contained private placements
              bought by his clients, although he knew or should have known
              that the circumstances surrounding such private placements were
              or could be an indication of suspicious activity or activity
              contrary to the interests of the clients.
    

    As regards Count 1, which alleged that the Respondent had failed, between
November 2001 and May 2002, to use due diligence to learn and remain informed
of the essential facts relative to the identity of 45 new clients, by opening
delivery-against-payment accounts with Desjardins Securities Inc. for accounts
held with B2B Trust without having met the clients, contrary to Regulation
1300.1(a) in conjunction with Association By-law 29.1, the Hearing Panel found
the Respondent not guilty.
    The Panel also found the Respondent not guilty on Count 3, which alleged
that, between November 2001 and May 2002, while employed as a registered
representative at Desjardins Securities Inc., a Member of the Association, the
Respondent engaged in business conduct or practice unbecoming or detrimental
to the public interest, contrary to Association By-law 29.1, by acting as a
registered representative in 47 off-the-book accounts with B2B Trust, the
approximate value of which was equal to $1,418,256.00, without the knowledge
or consent of Desjardins Securities Inc.
    The IDA formally initiated an investigation into the Respondent's conduct
on October 13, 2005. The contraventions occurred while the Respondent was a
registered representative at a branch of Desjardins Securities Inc. located at
5 Complexe Desjardins, Suite 247, in Montreal. The Respondent is currently
employed as a Branch Manager, Officer (Vice-President) and Officer in charge
of Quebec Operations at Union Securities Ltd., 1411 Peel Street, Suite 600, in
Montreal.
    The Hearing Panel issued its decision and reasons on July 30, 2008. A
hearing will be held on September 10, 2008 to hear the parties'
representations on the issue of penalty.
    The Hearing Panel Decision and reasons are available at
http://www.iiroc.ca/English/Pages/home.aspx.

    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.





For further information:

For further information: Carmen Crépin, Vice President, Québec, (514)
878-1625 or ccrepin@iiroc.ca; Jeff Kehoe, Director, Enforcement, (416)
943-6996 or jkehoe@iiroc.ca


Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

CNW Membership

Fill out a CNW membership form or contact us at 1 (877) 269-7890

Learn about CNW services

Request more information about CNW products and services or call us at 1 (877) 269-7890