MFDA announces settlement hearing to take place in respect of My Phuong "Vicky" Luong Dao

TORONTO, Dec. 22, 2020 /CNW/ - The Mutual Fund Dealers Association of Canada ("MFDA") commenced a disciplinary proceeding in respect of My Phuong "Vicky" Luong Dao ("Respondent") by Notice of Hearing dated November 26, 2019.

As the result of a settlement agreement entered into between Staff of the MFDA and the Respondent, a settlement hearing will proceed by electronic hearing on February 2, 2021, commencing at 10:00 a.m. (Eastern), or as soon thereafter as the matter can be heard. Members of the public who would like to obtain particulars should contact [email protected].

The subject matter of the proposed settlement agreement concerns matters for which the Respondent may be disciplined pursuant to ss. 20 and 24.1.1 of By-law No. 1 of the MFDA. In particular, the settlement agreement concerns allegations that the Respondent:

1. commencing in March 2010, has been engaged in an outside business activity that was not disclosed to or approved by the Member, contrary to the policies and procedures of the Member and MFDA Rule 1.2.1(d)[1] (now Rule 1.3.2) and MFDA Rules 2.10, 2.5.1 and 1.1.2;
2.  commencing in March 2010, engaged in personal financial dealings with client MH by:
1. purchasing two condominium units (the "Condominium Units") with client MH and accepting payments from client MH to finance the costs of purchasing and maintaining the Condominium Units;
2. opening and maintaining a joint bank account with client MH to facilitate:
1. the receipt of deposits including payments from client MH towards the costs of the Condominium Units;
2. the deposit and accounting for rental income generated by the Condominium Units; and
3. the payment of expenses (including mortgage payments) associated with the purchase and maintenance of the Condominium Units; and
3. accepting three cheques from client MH totaling $95,000 which were deposited into the Respondent's personal bank account;
3. between November 2012 and November 2016, submitted five Annual Representative Compliance Certification questionnaires to the Member that contained false or misleading responses, thereby interfering with the ability of the Member to supervise the Respondent's activities, failing to observe high standards of ethics and conduct in the transaction of business, and engaging in conduct that is unbecoming and detrimental to the public interest, contrary to MFDA Rules 2.1.1, 1.1.2 and 2.5.1. 

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¹ Effective December 3, 2010, Rule 1.2.1(d) concerning dual occupations was renumbered as 1.2.1(c). Effective March 17, 2016, Rule 1.2.1(c) was amended and renumbered as MFDA Rule 1.3. Approved Persons have always been required to ensure that the Member is aware of and approves of any Approved Person's engagement in outside business activities.

MFDA settlement hearings are typically held in the absence of the public pursuant to section 20.5 of MFDA By-law No. 1 and Rule 15.2(2) of the MFDA Rules of Procedure. If the Hearing Panel accepts the settlement agreement, then the proceeding will become open to the public and a copy of the decision of the Hearing Panel and the settlement agreement will be made available at www.mfda.ca.

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 Richmond Hill, Ontario.

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 81,000 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]

Related Links

www.mfda.ca