TORONTO, May 24, 2018 /CNW/ - The Mutual Fund Dealers Association of Canada ("MFDA") commenced a disciplinary proceeding in respect of Eileen Marie Desgroseilliers ("Respondent") by Notice of Hearing dated September 7, 2017.
The hearing of this matter on its merits resumed today in Toronto, Ontario before a three-member Hearing Panel of the MFDA's Central Regional Council. After hearing submissions from Staff of the MFDA with respect to misconduct and sanctions, the Hearing Panel found that the two allegations set out in the Notice of Hearing had been established. In particular, the Hearing Panel made the following findings of misconduct against the Respondent:
Allegation #1: Between about January 28, 2015 and April 2, 2015, she misappropriated at least $31,702 from clients KP and FP, thereby failing to deal honestly and in good faith with the clients, and engaging in conduct unbecoming an Approved Person, contrary to MFDA Rule 2.1.1.
Allegation #2: Between January 26, 2015 and April 6, 2015, she held an account jointly with clients FP and KP, thereby giving rise to an actual or potential conflict of interest between the Respondent and clients KP and FP which she failed to address by the exercise of responsible business judgment influenced only by the best interests of clients KP and FP, contrary to MFDA Rules 2.1.4, 2.3.1 and 2.1.1.
The Hearing Panel reserved its decision on penalty and advised that it will issue its decision and written reasons in due course.
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 conducted business in the Thunder Bay, Ontario 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 82,000 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]