MFDA Hearing Panel approves settlement agreement with Excel Private Wealth Inc.
TORONTO, Sept. 6, 2018 /CNW/ - A settlement hearing in the matter of Excel Private Wealth Inc. (the "Respondent") was held today in Toronto, Ontario before a three-member Hearing Panel of the Central Regional Council of the Mutual Fund Dealers Association of Canada ("MFDA").
The Hearing Panel approved the settlement agreement dated July 17, 2018 ("Settlement Agreement") between Staff of the MFDA and the Respondent, as a consequence of which the following sanctions were imposed on the Respondent:
- a fine in the amount of $40,000;
- costs in the amount of $7,500; and
- in the future shall comply with all MFDA By-laws, Rules and Policies, and all applicable securities legislation and regulations made thereunder, including MFDA Rule 2.5.1 and MFDA Policy No. 2.
In the Settlement Agreement, the Respondent admitted that:
| a) |
between August 20, 2014 and September 16, 2014, it failed to conduct adequate due diligence on Approved Person, BG's referral arrangement, contrary to MFDA Rule 2.5.1 and MFDA Policy No. 2; |
| b) |
from April 2016 to December 2016, it failed to maintain a tier two supervision structure for its Approved Persons, contrary to MFDA Rule 2.5.1 and MFDA Policy No. 2; |
| c) |
from June 2016 to March 7, 2018, it failed to conduct supervisory reviews of quarterly trend analysis reports, contrary to its policies and procedures, MFDA Rule 2.5.1 and MFDA Policy No. 2. |
A copy of the Settlement Agreement is available on the MFDA website at www.mfda.ca.
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
Charles Toth, Director, Litigation, 416-943-4619, [email protected]
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