Enforcement Notice - Decision - IIROC Fines and Suspends Calgary Investment Advisor John Manuel Reyes

CALGARY, Dec. 5, 2018 /CNW/ - On November 28, 2018, a Hearing Panel of the Investment Industry Regulatory Organization of Canada (IIROC) accepted a Settlement Agreement, with sanctions, between IIROC staff and John Manuel Reyes.

Mr. Reyes admitted that he failed to know his clients and did not ensure his investment recommendations were suitable for them. Mr. Reyes also admitted that he engaged in conduct unbecoming when he used his own money to trade securities through a client's account.

Specifically, Mr. Reyes admitted to the following violation(s):

a)	Between November 2012 and September 2016, Mr. Reyes failed to use due diligence to learn and remain informed of the essential facts relative to two clients, contrary to Dealer Member Rule 1300.1(a);
b)	Between November 2012 and September 2016, Mr. Reyes failed to use due diligence to ensure that investment recommendations were suitable for two clients, contrary to Dealer Member Rule 1300.1(q); and
c)	Between June 2013 and November 2014, Mr. Reyes provided personal funds to a client in order to trade securities through the client's account, contrary to Dealer Member Rule 29.1.

Pursuant to the Settlement Agreement, Mr. Reyes agreed to the following penalty:

a)	A two month suspension from registration in any capacity;
b)	A fine in the total amount of $107,500;
c)	12 month close supervision; and
d)	Successful rewrite of the Conduct and Practices Handbook Examination within 90 days.

 Mr. Reyes also agreed to pay costs in the amount of $2,500.

The Settlement Agreement and the Hearing Panel's decision will be available at: http://www.iiroc.ca/Documents/2018/8a1ac961-02f8-4820-a810-29faa661c7c7_en.pdf.

IIROC formally initiated the investigation into Mr. Reyes conduct in June 2016. The conduct occurred while he was a Registered Representative with the Calgary branch of Richardson GMP Limited, and its predecessor, Macquarie Private Wealth Inc., both IIROC-regulated firms. Mr. Reyes is currently a Registered Representative at Richardson GMP Limited.

Documents related to ongoing IIROC enforcement proceedings – including Reasons and Decisions of Hearing Panels – are posted on the IIROC website as they become available. Click here to search and access all IIROC enforcement documents.

*  *  *

IIROC is the national self-regulatory organization which oversees all investment dealers and their trading activity in Canada's debt and equity markets. IIROC sets high quality regulatory and investment industry standards, protects investors and strengthens market integrity while supporting healthy Canadian capital markets. IIROC carries out its regulatory responsibilities through setting and enforcing rules regarding the proficiency, business and financial conduct of dealer firms and their registered employees and through setting and enforcing market integrity rules regarding trading activity on Canadian debt and equity marketplaces.

IIROC investigates possible misconduct by its member firms and/or individual registrants. It can bring disciplinary proceedings which may result in penalties including fines, suspensions, permanent bars, expulsion from membership, or termination of rights and privileges for individuals and firms.

All information about disciplinary proceedings relating to current and former member firms is available in the Enforcement section of the IIROC website. Background information regarding the qualifications and disciplinary history, if any, of advisors currently employed by IIROC-regulated firms is available free of charge through the IIROC AdvisorReport service. Information on how to make investment dealer, advisor or marketplace-related complaints is available by calling 1 877 442-4322.

SOURCE Investment Industry Regulatory Organization of Canada (IIROC) - General News

Enforcement Contact: Warren Funt, Vice President, Western Canada, 604 331-4750, [email protected]; Media Contact: Andrea Zviedris, Manager, Media Relations, 416 943-6906, [email protected]

Related Links

www.iiroc.ca