TORONTO, April 4, 2019 /CNW/ - The Mutual Fund Dealers Association of Canada ("MFDA") has commenced disciplinary proceedings in respect of Rakeshkumar Patel ("Respondent"). In its Notice of Hearing dated March 26, 2019 ("Notice of Hearing"), Staff of the MFDA alleges that the Respondent engaged in the following conduct contrary to the By-laws, Rules and/or Policies of the MFDA:
Allegation #1: On February 27, 2015, the Respondent, without client VB's authorization, changed client VB's address on the Member's back office system from client VB's residential address to the branch address at which the Respondent conducted business, contrary to the Member's policies and procedures, and MFDA Rules 2.1.1, 2.10 and 1.1.2.
Allegation #2: On April 14, 2015, the Respondent, in response to a supervisory query from the Member's compliance staff regarding the suitability of a trade, changed client VB's investment objectives on a Know-Your-Client ("KYC") update form without client VB's knowledge or authorization, and falsified client VB's signature on the KYC update form, contrary to MFDA Rules 2.2.1 and 2.1.1.
Allegation #3: On January 13, 2016, the Respondent misled the Member during the course of its supervisory investigation into his conduct, contrary to MFDA Rule 2.1.1.
The first appearance in this proceeding will take place by teleconference before a Hearing Panel of the MFDA's Central Regional Council on May 16, 2019 at 10:00 a.m. (Eastern), or as soon thereafter as the appearance can be held, to schedule a date for the commencement of the hearing on the merits and to address any other procedural matters. The appearance will be open to the public, except as may be required for the protection of confidential matters. Members of the public who would like to listen to the teleconference should contact [email protected] to obtain particulars.
A copy of the Notice of Hearing is available on the MFDA website at www.mfda.ca. During the period described in the Notice of Hearing, the Respondent carried on business at a branch office located in Brampton, Ontario.
The MFDA is the self-regulatory organization for Canadian mutual fund dealers, regulating the operations, standards of practice and business conduct of its Members and their approximately 81,000 Approved Persons with a mandate to protect investors and the public interest. For more information about the MFDA's complaint and enforcement processes, as well as links to 'Check an Advisor' and other Investor Tools, visit the For Investors page on the MFDA website.
SOURCE Mutual Fund Dealers Association of Canada
For further information: Charles Toth, Managing Director, Litigation, 416-943-4619, [email protected]