TORONTO, Nov. 9, 2015 /CNW/ - The penalty phase of a disciplinary hearing in the matter of Sital Singh Harjinder Dhillon (the "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").
In its Decision and Reasons (Misconduct), dated August 19, 2015, the Hearing Panel found that the allegation made against the Respondent in the Notice of Hearing dated March 4, 2014, had been established, the particulars of which is:
Allegation #1: Between May and June 2010, the Respondent made leveraged investments in two client accounts without the knowledge or approval of the Member, thereby failing to comply with the Member's policies and procedures regarding leveraging and interfering with the ability of the Member to supervise trading activity in the clients' accounts, contrary to MFDA Rules 1.1.2 and 2.5.1 and MFDA Rule 2.1.1.
After hearing submissions from the parties with respect to penalty, the Hearing Panel imposed the following sanctions on the Respondent, and advised that it will issue written reasons for its decision in due course:
- a prohibition of the authority of the Respondent to conduct securities related business in any capacity for a period of six (6) months;
- a fine in the amount of $15,000; and
- costs of this proceeding in the amount of $5,000.
A copy of the Decision and Reasons (Misconduct) is available on the MFDA website at www.mfda.ca. During the period described in the Decision and Reasons (Misconduct), the Respondent carried on business in Weston, Ontario.
The MFDA is the self-regulatory organization for Canadian mutual fund dealers, regulating the operations, standards of practice and business conduct of its 102 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
For further information: Charles Toth, Director, Litigation, 416-943-4619, [email protected]