VANCOUVER, July 20, 2012 /CNW/ - On June 25, 2012, a Hearing Panel of
the Investment Industry Regulatory Organization of Canada (IIROC)
accepted a Settlement Agreement, with sanctions, between the IIROC
staff and John Skelton.
Mr. Skelton admitted between 2003 and 2008 he effected discretionary
trades on behalf of his client's investment account and that some of
these transactions were not suitable for the client.
Specifically, Mr. Skelton admitted to the following violations:
Between July 2003 and December 2008, Mr. Skelton failed to use due
diligence to ensure orders he placed for his client were suitable,
contrary to IDA Regulation 1300.1(p) and IIROC Dealer Member Rule
Between September 2003 and December 2008, Mr. Skelton effected
discretionary trades on behalf of his client without having prior
written authorization, and without the account having been designated
and approved as a discretionary account by his employer Raymond James
Ltd., contrary to IDA Regulations 1300.4 and 1300.5, and IIROC Dealer
Member Rules 1300.4. and 1300.5.
Pursuant to the Settlement Agreement, Mr. Skelton agreed to the
Mr. Skelton also agreed to pay costs in the amount of $1,000.
The Settlement Agreement is available at http://docs.iiroc.ca/DisplayDocument.aspx?DocumentID=383A84D70E044C7A93101A25BA76DD25&Language=en and the Hearing Panel's decision will be made available at www.iiroc.ca.
Documents related to ongoing IIROC enforcement proceedings - including
Reasons and Decisions of Hearing Panels - are posted on the IIROC
website as they become available. Click here to search and access all IIROC enforcement documents.
IIROC formally initiated the investigation into Mr. Skelton's conduct in
April 2009. The conduct occurred when he was a Registered
Representative with the Kelowna business location of Raymond James
Ltd., an IIROC-regulated firm. Mr. Skelton is currently a Registered
Representative with this 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.
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, permanent bars,
expulsion from membership, or termination of rights and privileges 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.
SOURCE Investment Industry Regulatory Organization of Canada (IIROC) - General News
For further information:
Vice President, Western Canada
604 331 4750
Director, Public Affairs
416 943 6921