MFDA announces disciplinary proceeding in respect of Ronald Kowalsky
TORONTO, Oct. 4, 2021 /CNW/ - The Mutual Fund Dealers Association of Canada (the "MFDA") has commenced disciplinary proceedings in respect of Ronald John Thomas Kowalsky (the "Respondent"). In its Notice of Hearing dated September 20, 2021 (the "Notice of Hearing"), Staff of the MFDA alleges that the Respondent engaged in the following conduct contrary to the By-laws, Rules and/or Policies of the MFDA:
Allegation #1: Between 2013 and 2016, the Respondent engaged in securities related business that was not carried on for the account of the Member or conducted through its facilities by recommending, selling, or facilitating the sale of syndicated mortgage investments, contrary to the Member's policies and procedures and MFDA Rules 1.1.1, 2.1.1, 2.5.1, and 1.1.2.
Allegation #2: Between 2013 and 2016, the Respondent engaged in an unapproved outside business activity in relation to syndicated mortgage investments, contrary to the Member's policies and procedures and MFDA Rules 1.2.1(c) (now MFDA Rule 1.3)1, 2.1.1, 2.5.1 and 1.1.2.
Allegation #3: Between 2013 and 2016, the Respondent made referrals in respect of syndicated mortgage investments and received compensation for doing so, thereby participating in a referral arrangement to which the Member was not a party and which did not otherwise comply with sections 13.7 to 13.10 of National Instrument 31-103, the Member's policies and procedures, and MFDA Rules 2.4.22, 2.1.1, 2.5.1, and 1.1.2.
Allegation #4: Between August 28, 2015 and March 13, 2019, the Respondent obtained, possessed, and, in some instances, used 19 pre-signed account forms in respect of 11 clients, contrary to MFDA Rule 2.1.1.
Allegation #5: Between January 16, 2019 and April 22, 2019, the Respondent attached a copy of signature pages from account forms previously signed by clients to 3 new account forms in respect of 3 clients, and submitted the account forms for processing, contrary to MFDA Rule 2.1.1.
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1 MFDA Rule 1.2.1(c) was amended and renumbered as MFDA Rule 1.3 effective March 17, 2016. |
2 MFDA Rule 2.4.2 was amended effective April 8, 2015. |
The first appearance in this proceeding will take place by teleconference before a Hearing Panel of the MFDA's Central Regional Council on November 15, 2021 at 10:15 a.m. (Eastern), or as soon thereafter as the appearance can be held, to schedule a date for the commencement of the hearing on the merits and to address any other procedural issues. The appearance will be open to the public, except as may be required for the protection of confidential matters. Members of the public who would like to listen to the teleconference should contact [email protected] to obtain particulars.
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 Simcoe, 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 80,000 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
Charles Toth, Vice-President, Enforcement, 416-943-4619, [email protected]
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