FREDERICTON, NB, Oct. 17, 2016 /CNW/ - Following a penalty hearing held on September 7, 2016, a Hearing Panel of the Investment Industry Regulatory Organization of Canada (IIROC) imposed the following penalties on Robert Adrian Crandall:
(a) |
a prohibition on re-registering with IIROC for a period of five years; |
(b) |
a fine of $150,000; |
(c) |
a requirement to successfully re-write the Conduct and Practices Handbook exam as a condition of re-registration; and |
(d) |
a period of strict supervision for 18 months should he return to the industry. |
Mr. Crandall is also required to pay costs in the amount of $ 35,000.
The penalty decision can be found at: http://docs.iiroc.ca/DisplayDocument.aspx?DocumentID=EBB2629F54324C82982C32F79B7174BF&Language=en
In an earlier decision dated May 26, 2016, the Hearing Panel found that Mr. Crandall had committed the following violations:
(a) |
Between July 2006 and June 2012, he engaged in excessive trading in the accounts of his client, which was not within the bounds of good business practices and was unsuitable for the client, contrary to IIROC Dealer Member Rule 1300.1 (o) and (q) (IDA Regulation 1300.1 (o) and (q) prior to June 1, 2008); |
(b) |
Between July 2006 and June 2012, he engaged in unauthorized discretionary trading in the accounts of his client, without the accounts first having been approved as discretionary accounts, contrary to Dealer Member Rule 1300.4 (IDA by-law 1300.4 prior to June 1, 2008); and |
(c) |
Between July 2007 and October 2010, he made unsuitable recommendations for the accounts of his client, contrary to Dealer Member Rule 1300.1(q) (IDA by-law 1300.1(q) prior to June 1, 2008). |
The Hearing Panel's liability decision dated May 26, 2016, is available at:
http://docs.iiroc.ca/DisplayDocument.aspx?DocumentID=4179AFA352F5414B81E2E58201F96844&Language=en
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. Crandall's conduct in July 2013. The violations occurred while he was a Registered Representative with the Fredericton branch of Wellington West Capital Inc. and its successor National Bank Financial, both IIROC-regulated firms at the relevant times. Mr. Crandall is no longer a registrant with an IIROC-regulated firm.
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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 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: Enforcement Contact: Elsa Renzella, Vice-President, Enforcement, 416 943-5877, [email protected]; Media Contact: Karen Archer, Manager, Media Relations, 416 865-3046, [email protected]
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