MFDA Hearing Panel approves two settlement agreements

TORONTO, May 27, 2016 /CNW/ - On May 26, 2016, a three-person Hearing Panel (the "Hearing Panel") of the Central Regional Council of the Mutual Fund Dealers Association of Canada ("MFDA") heard the following two (2) separate proceedings, the particulars of which are:

Christopher Rainville

A settlement hearing in the matter of Christopher Rainville ("Rainville") was held on May 26, 2016, at which the Hearing Panel approved the settlement agreement (the "Settlement Agreement") between Staff of the MFDA and Rainville, as a consequence of which Rainville:

  • has paid a fine in the amount of $13,000;
  • has paid costs in the amount of $2,500; and
  • shall in the future comply with MFDA Rule 2.1.1.

In the Settlement Agreement, Rainville admitted that:

(a)   



between November 2003 and January 2013, he altered and used to process transactions, 89 account forms in respect of 46 clients, contrary to MFDA Rule 2.1.1;

(b)  



between November 2003 and January 2013, he obtained and used to process transactions, 39 pre-signed account forms in respect of 26 clients, contrary to MFDA Rule 2.1.1; and

(c)   



on January 6, 2010 and on April 20, 2012, he submitted an account form to the Member for processing that was signed by the spouse of the client on behalf of the client, contrary to MFDA Rule 2.1.1.

 

A copy of the Settlement Agreement is available on the MFDA website at www.mfda.ca. During the period described in the Settlement Agreement, the Respondent carried on business in the Toronto, Ontario area.

Richard Fenton

A settlement hearing in the matter of Richard Fenton ("Fenton") was held on May 26, 2016, at which the Hearing Panel approved the settlement agreement (the "Settlement Agreement") between Staff of the MFDA and Fenton, as a consequence of which Fenton:

  • has paid a fine in the amount of $8,000;
  • has paid costs in the amount of $2,500;
  • shall successfully complete the branch manager's course offered by the Canadian Securities Institute within six (6) months of the date of the acceptance of this Settlement Agreement; and
  • shall in the future comply with MFDA Rule 2.1.11.

In the Settlement Agreement, Fenton admitted that:

(a)   



between April 2006 and August 2014, he obtained, possessed, and in some instances, used to process transactions, twelve (12) pre-signed account forms in respect of eight (8) clients, contrary to MFDA Rule 2.1.1; and

(b)  



between 2007 and 2014, he failed to accurately respond to the Member's Annual Attestations for Approved Persons, contrary to MFDA Rule 2.1.1.

 

A copy of the Settlement Agreement is available on the MFDA website at www.mfda.ca. During the period described in the Settlement Agreement, the Respondent conducted business in the Orillia, Ontario area.

The MFDA is the self-regulatory organization for Canadian mutual fund dealers, regulating the operations, standards of practice and business conduct of its Members and their approximately 83,000 Approved Persons with a mandate to protect investors and the public interest. For more information about the MFDA's complaint and enforcement processes, as well as links to 'Check an Advisor' and other Investor Tools, visit the For Investors page on the MFDA website.

SOURCE Mutual Fund Dealers Association of Canada

For further information: Charles Toth, Director, Litigation, 416-943-4619, ctoth@mfda.ca

RELATED LINKS
http://www.mfda.ca

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