TORONTO, May 7, 2019 /CNW/ - A settlement hearing in the matter of Yvonne Yat Sim Chan ("Respondent") was held today in Toronto, Ontario before a three-member Hearing Panel of the Central Regional Council of the Mutual Fund Dealers Association of Canada ("MFDA").
The Hearing Panel approved the settlement agreement dated December 18, 2018 ("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 acting as a branch manager or in a supervisory position while in the employ of or associated with any Member of the MFDA for a period of six months;
- a fine in the amount of $2,500;
- costs in the amount of $1,500; and
- shall in the future comply with MFDA Rules 2.5.5(f), 2.1.1, and MFDA Policy No. 2.
In the Settlement Agreement, the Respondent admitted that in September 2016 and February 2017, in her capacity as Branch Manager, she failed to identify regulatory concerns and take adequate supervisory action in response to information which indicated that an Approved Person for whom she had supervisory oversight, had required two clients to sign unauthorized documents purporting to waive the suitability requirement, contrary to MFDA Rule 2.5.5(f), Rule 2.1.1, and MFDA Policy No. 2.
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, firstname.lastname@example.org