TORONTO, Feb. 21, 2012 /CNW/ - The MFDA today announced that it has commenced disciplinary proceedings in respect of Jeffrey Murray Willis (the "Respondent"). MFDA staff alleges in its Notice of Hearing that the Respondent engaged in the following conduct contrary the By-laws, Rules or Policies of the MFDA:
|Allegation #1: Between October 2008 and May 2009, the Respondent engaged in securities related business that was not carried on for the account and through the facilities of the Member by selling, referring or facilitating the sale of investments in four investment products that were not approved for sale by the Member to clients and other individuals, contrary to MFDA Rules 1.1.1(a) and 2.1.1.|
|Allegation #2: Between February 2005 and December 2008, the Respondent had and continued in another gainful occupation that was not disclosed to and approved by the Member by providing consulting or advisory services to client NF in respect of which the Respondent accepted an "investment counsel" fee directly from client NF, contrary to MFDA Rules 1.2.1(d)1 and Rule 2.4.1.|
|Allegation #3: Between May 9, 2007 and July 29, 2008, the Respondent engaged in personal financial dealings with client NF by remaining indebted to client NF in the amount of $150,000 and re-financing his indebtedness to client NF during this period, thereby creating a conflict of interest between the Respondent's interests and client NF's interests which the Respondent failed to ensure was addressed by the exercise of responsible business judgment influenced only by the best interests of client NF, contrary to:|
|a) MFDA Rule 2.1.4; and|
|b) the Member's Policies and Procedures, thereby interfering with the Member's ability to supervise the Respondent, contrary to MFDA Rules 1.1.2 and 2.5.1.|
1 The MFDA's Rules were amended in February 2011. As a consequence of the amendments, MFDA rule 1.2.1(d) was renumbered as MFDA Rule 1.2.1(c). The wording of the Rule was not amended.
The first appearance in this matter will take place by teleconference before a Hearing Panel of the MFDA's Central Regional Council on March 13, 2012 at 10:00 a.m. (Eastern) in the MFDA Hearing Room located at 121 King Street West, Suite 1000, Toronto, Ontario. The purpose of the appearance is to set a date for the hearing of this matter on its merits and to address any other procedural matters and will be open to the public, except as may be required for the protection of confidential matters.
The MFDA is the self-regulatory organization for Canadian mutual fund dealers, regulating the operations, standards of practice and business conduct of its 125 Members and their approximately 75,000 Approved Persons with a mandate to protect investors and the public interest.
For further information:
416-943-4672 or [email protected]