MONTRÉAL, April 8, 2019 /CNW/ - On March 20, 2019, a Hearing Panel of the Investment Industry Regulatory Organization of Canada (IIROC) accepted a Settlement Agreement, with sanctions, between IIROC staff and Fernando Pace.
Mr. Pace admitted that he engaged in discretionary trading in two clients' accounts, without the accounts having been preauthorized and approved as "discretionary" accounts – contrary to IIROC Dealer Member Rules 1300.4 and 1300.5.
Pursuant to the Settlement Agreement, Mr. Pace agreed to the following penalty:
A fine in the amount of $25,000;
Successfully rewrite the Conduct and Practices Handbook examination within six months following acceptance of the Settlement Agreement by the Hearing Panel
Mr. Pace also agreed to pay IIROC costs in the amount of $5,000.
The Settlement Agreement is available at http://www.iiroc.ca/documents/2019/c4a4799e-29b1-4e5e-8a49-6ff35df7dab7_en.pdf
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. Pace's conduct in May 2016. The violation occurred when Mr. Pace was a registered representative at a Montréal branch of Desjardins Securities Inc., an IIROC-regulated firm. Mr. Pace is a Registered Representative with the Montréal branch of Mackie Research Capital Corporation, an IIROC-regulated firm.
IIROC is the national self-regulatory organization that 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 more than 170 Canadian investment dealer firms and their more than 29,000 registered employees, the majority of whom are commonly referred to as investment advisors. IIROC also sets and enforces 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
For further information: Enforcement Contact: Claudyne Bienvenu, Vice President, Quebec and Atlantic, 514 878-2854, [email protected]; Media Contact: Andrea Zviedris, Manager, Media Relations, 416 943-6906, [email protected]