Enforcement Notice - Decision - IIROC Fines TD Waterhouse Canada Inc. $140,000

TORONTO, Nov. 14, 2018 /CNW/ - On November 2, 2018, a Hearing Panel of the Investment Industry Regulatory Organization of Canada (IIROC) accepted a Settlement Agreement, with sanctions, between IIROC staff and TD Waterhouse Canada Inc.

TD Waterhouse Canada Inc. admitted failing to adequately supervise its former employee, David Gary Durno ("Durno") – contrary to Dealer Member Rules 38.1 and 2500. 

In a Settlement Agreement, accepted July 30, 2018, Mr. Durno admitted he did not address his clients' best interests when he implemented an active trading strategy in two senior clients' accounts. This strategy generated large commissions for himself and his firm but reduced client profits.

Pursuant to the Settlement Agreement, TD Waterhouse Canada Inc. agreed to pay a fine of $140,000 and costs in the amount of $10,000.

The Settlement Agreement is available at
http://www.iiroc.ca/Documents/2018/5835cd30-909b-47cd-aedb-103d928adfe8_en.pdf.

The Hearing Panel's decision will be made available at www.iiroc.ca.

IIROC formally initiated the investigation into TD Waterhouse Canada Inc.'s conduct in November 2017.  TD Waterhouse Canada Inc. is an IIROC-regulated firm.

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 is the national self-regulatory organization which oversees all investment dealers and their trading activity in Canada's debt and equity markets. IIROC sets high quality regulatory and investment industry standards, protects investors and strengthens market integrity while supporting healthy Canadian 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 debt and 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

Enforcement Contact: Charles Corlett, Director, Enforcement Litigation, 416.646.7253, [email protected]; Media Contact: Andrea Zviedris, Manager, Media Relations, 416 943-6906, [email protected]

Related Links

www.iiroc.ca