TORONTO, Nov. 17 /CNW/ - Following a disciplinary hearing held on Tuesday, April 28, 2009, in Toronto, Ontario, a Hearing Panel of the Investment Industry Regulatory Organization of Canada ("IIROC") found that Questrade Inc. (the "Respondent"):
(a) From December 2006 to the present, advertised margin rates below
those prescribed by IDA and IIROC minimum standards despite being
advised by regulatory Staff not to do so and has thereby engaged in
business conduct unbecoming a Member Firm or Dealer Member contrary
to IDA By-law 29.1 and Dealer Member Rule 29.1; and
(b) From December 2006 to the present, failed to obtain required margin
from its clients as required by IDA By-law 17.11 and IIROC Dealer
Member Rule 17.11 despite being advised by regulatory Staff to do so
and has thereby engaged in business conduct unbecoming a Member Firm
or Dealer Member contrary to Association By-law 29.1 and
Dealer Member Rule 29.1.
The IDA formally initiated the investigation into the Respondent's conduct on May 14, 2007. The Respondent is currently an IIROC-regulated firm.
The Hearing Panel issued its Decision and Reasons on November 6, 2009. A separate hearing will be held to determine the penalty to be imposed on the Respondent. The Hearing Panel's Decision and Reasons are available at www.iiroc.ca.
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.
SOURCE Investment Industry Regulatory Organization of Canada (IIROC) - General News
For further information: For further information: Alex Popovic, Vice President, Enforcement, (416) 943-6904, firstname.lastname@example.org; Jeff Kehoe, Director, Enforcement, (416) 943-6996, email@example.com