TORONTO, Jan. 24, 2014 /CNW/ - A hearing was originally scheduled before a Hearing Panel of the Investment Industry Regulatory Organization of Canada (IIROC), in the matter of Afam Elue on December 18, 2013. The hearing was adjourned to January 16, 2014; and on that date, it was further adjourned to March 17, 2014.
The hearing concerns allegations that Mr. Elue purchased mutual funds on a deferred sales charge ("DSC") basis for his client's RESP account, notwithstanding that the beneficiary of the account was nearly 16 years old at the time and would need to access the funds within approximately two years from the date of purchase.
It is further alleged that Mr. Elue failed to co-operate with an IIROC investigation in that he declined to attend an investigative interview.
The hearing is open to the public, unless the Hearing Panel orders otherwise. The decision of the Hearing Panel 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.
|Hearing Date:||March 17, 2014 at 10:00 a.m.|
|| IIROC Office, British Columbia Room
121 King Street West, Suite 2000
Toronto, ON M5H 3T9
Specifically, the allegations are that:
|(a)||Count 1: From or about September 2011, Mr. Elue failed to use due diligence to ensure that recommendations were suitable for his client, contrary to IIROC Dealer Member Rule 1300.1(q); and|
|(b)||Count 2: In October 2013, Mr. Elue failed to co-operate with IIROC in that he failed to attend an IIROC interview, contrary to IIROC Dealer Member Rule 19.5.|
IIROC formally initiated the investigation into Mr. Elue's conduct in August 2012. The alleged violations occurred when he was a Registered Representative with the Toronto branch of Edward Jones, an IIROC-regulated firm. Mr. Elue is no longer a registrant with an IIROC-regulated firm.
The Notice of Hearing which sets out the allegations is available at:
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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:
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