IIROC announces discipline of Dale Richard Wells

CALGARY, Nov. 10 /CNW/ - A Hearing Panel of the Investment Industry Regulatory Organization of Canada (IIROC) has found that Dale Richard Wells engaged in business conduct unbecoming or detrimental to the public interest when he acted in the role of an advisor without being registered as one.

The panel's full Reasons for Decision are available on the IIROC website. A separate hearing will be scheduled to determine the penalty to be imposed on Mr. Wells.

Specifically, the panel found that Mr. Wells committed a violation by entering into an arrangement to supply a financial services company with his own computer-generated research that recommended buy and sell opportunities related to mutual funds in return for a fee, and that this information was used regularly by that firm to make trades in an investment fund. In doing so, Mr. Wells acted as an advisor within the meaning of the Alberta Securities Act without being registered as such, contrary to IIROC Rule 29.1.

In its decision, the panel reviewed the requirements to be registered as an advisor under Alberta Securities law, and concluded "the evidence clearly established that the Respondent [Mr. Wells] held none of these qualifications."

IIROC began the investigation into Mr. Wells' conduct in March 2008. The violations occurred from February 2006 to July 2008, while Mr. Wells was a Registered Representative with the Lloydminster, Alberta branch of First Financial Securities Inc., an IIROC-regulated firm. Mr. Wells is still a Registered Representative with that firm.

IIROC investigates possible misconduct by its member firms and/or individual registrants. It can bring disciplinary proceedings which may result in penalties including fines, suspensions and permanent bans or terminations for individuals and firms.

All information about disciplinary proceedings relating to current and former member firms is available in the Enforcement section of the IIROC website. Background information regarding the qualifications and disciplinary history, if any, of advisors currently employed by IIROC-regulated firms is available free of charge through the IIROC AdvisorReport service. Information on how to make investment dealer, advisor or marketplace-related complaints is available by calling 1.877.442.4322.

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.

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