TORONTO, Dec. 27, 2017 /CNW/ - A settlement hearing in the matter of Johnny Wu ("Respondent") was held on December 21, 2017 in Vancouver, British Columbia before a three-member Hearing Panel of the Pacific Regional Council of the Mutual Fund Dealers Association of Canada ("MFDA").
The Hearing Panel approved the settlement agreement ("Settlement Agreement") between Staff of the MFDA and the Respondent, as a consequence of which the following sanctions were imposed on the Respondent:
- a prohibition from conducting securities related business in any capacity while in the employ of or associated with a MFDA Member for a period of six (6) months;
- a fine in the amount of $3,500 ("Fine");
- costs in the amount of $2,500 ("Costs");
- payment of the Fine and Costs shall be made to and received by MFDA Staff in certified funds as follows:
a) $2,500 (Costs) upon acceptance of the Settlement Agreement by the Hearing Panel;
b) $2,500 (Fine) upon acceptance of the Settlement Agreement by the Hearing Panel;
c) $250 on or before the last business day of the first month following the date of settlement hearing;
d) $250 on or before the last business day of the second month following the date of settlement hearing;
e) $250 on or before the last business day of the third month following the date of settlement hearing;
f) $250 on or before the last business day of the fourth month following the date of settlement hearing;
- should he fail to make any of the payments described above:
a) any outstanding balance of the Fine and Costs owed shall become immediately due and payable to the MFDA; and
b) he shall be prohibited from conducting securities related business while in the employ of or associated with a Member of the MFDA until such time as the total amount outstanding of the Fine and Costs owed is paid to the MFDA;
- shall in the future comply with MFDA Rules 2.1.1.
In the Settlement Agreement dated November 20, 2017, the Respondent admitted that between December 2015 and February 2016, he signed the signatures of four (4) clients on five (5) account forms, contrary to MFDA Rule 2.1.1.
A copy of the Settlement Agreement is available on the MFDA website at www.mfda.ca. During the period described in the Settlement Agreement, the Respondent carried on business in the Vancouver, British Columbia area.
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 83,000 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