TORONTO, May 4, 2012 /CNW/ - The MFDA today announced that it has commenced disciplinary proceedings in respect of Stephen Popen (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: From April 9, 2007 to September 17, 2009, the Respondent had and continued in another gainful occupation that was not disclosed to and approved by the Member by operating a business services and consulting company, contrary to MFDA Rules 1.2.1(d) and 2.1.1.
Allegation #2: Between July 8, 2008 and September 17, 2009, the Respondent engaged in personal financial dealings with clients by borrowing directly or indirectly through his company:
a) $110,000 from clients WK and DK; and
b) $115,000 from client HB;
thereby giving rise to actual or potential conflicts of interest between the Respondent and clients WK, DK and HB which the Respondent failed to address by the exercise of responsible business judgment influenced only by the best interests of the clients, contrary to MFDA Rules 2.1.4 and 2.1.1.
Allegation #3: Commencing February 15, 2011, the Respondent has failed to produce for inspection copies of documents and records requested by the MFDA during the course of an investigation, contrary to section 22.1 of MFDA By-law No. 1.
The first appearance in this matter will take place by teleconference before a Hearing Panel of the MFDA's Central Regional Council on June 20, 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 122 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 firstname.lastname@example.org