TORONTO, Dec. 3, 2024 /CNW/ - Ontario's financial services regulator, FSRA, has initiated enforcement action against Rahman Mohammed (Mohammed).
FSRA alleges that Mohammed caused his brokerage to fail to comply with the following requirements under the Mortgage Brokerages, Lenders and Administrators Act, 2006, S.O. 2006, c.29, as amended (Act), contrary to section 3 of Ontario Regulation 187/08:
- Mohammed failed to take sufficient steps to verify a borrower's identity, contrary to section 11(2) of Ontario Regulation 188/08.
- Mohammed failed to take reasonable steps to ensure a mortgage was suitable for a borrower, contrary to section 24(1) of Ontario Regulation 188/08; and
FSRA also alleges that:
- Mohammed facilitated dishonesty and illegal conduct by dealing in mortgages with a non-licensee, contrary to section 3.1 of Ontario Regulation 187/08; and
- Mohammed, as Principal Broker of his brokerage, failed to take reasonable steps to ensure that his brokerage and himself complied with the Act, contrary to section 2(1) of Ontario Regulation 410/07.
FSRA is proposing to impose conditions on Mohammed's mortgage broker licence and impose administrative monetary penalties in the total amount of $20,000 on Mohammed.
Mohammed requested a hearing before the Financial Services Tribunal about this proposal.
Learn more:
Access our enforcement database to see how FSRA is working to protect consumers through its monitoring and enforcement activities.
For media inquiries:
Russ Courtney
Senior Manager of Media Relations
Financial Services Regulatory Authority
C: 437-225-8551
Email: [email protected]
SOURCE Financial Services Regulatory Authority of Ontario
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