MFDA Hearing Panel approves settlement agreement with Risa Dee Andersen

TORONTO, Dec. 10, 2018 /CNW/ - A settlement hearing in the matter of Risa Dee Andersen ("Respondent") was held today in Toronto, Ontario before a three-person Hearing Panel of the Central Regional Council of the Mutual Fund Dealers Association of Canada ("MFDA").

The Hearing Panel approved the settlement agreement dated December 4, 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 prohibition from conducting securities related business in any capacity while in the employ of or associated with a MFDA Member for a period of six months;
•	a fine in the amount of $25,000, payable in instalments as follows:
	a)	$2,500, upon acceptance of the Settlement Agreement;
	b)	$3,750, on or before January 31, 2019;
	c)	$3,750, on or before February 28, 2019;
	d)	$3,750, on or before March 29, 2019;
	e)	$3,750, on or before April 30, 2019;
	f)	$3,750, on or before May 31, 2019;
	g)	$3,750, on or before June 28, 2019;
•	costs in the amount of $2,500; and
•	shall in the future comply with MFDA Rules 1.1.7(c), 1.3.2, 2.1.1, 2.1.4, 2.4.2, 2.7.3, and 2.5.1 and 1.1.2 and ss. 13.7 to 13.10 of National Instrument 31-103.

In the Settlement Agreement, the Respondent admitted that:

a)	between April 2014 and June 2017, she had and continued in outside business activities which were not disclosed to and approved by the Member, contrary to the Member's policies and procedures and MFDA Rules 1.2.1(c) (now 1.3.2) , 2.1.1, and 2.5.1 and 1.1.2;
b)	between August 13, 2014 and June 1, 2017, she referred at least four clients and five individuals to purchase insurance products for which the Respondent received referral fees, contrary to the Member's policies and procedures, sections 13.7 to 13.10 of National Instrument 31-103, and MFDA Rules 2.1.1, 2.4.2, and 2.5.1 and 1.1.2;
c)	between April 2014 and June 2017, she conducted business of the Member using an unapproved trade name, contrary to the Member's policies and procedures and MFDA Rules 1.1.7(c), 2.5.1 1.1.2, and 2.1.1;
d)	from at least December 5, 2014 to June 2017, she issued unapproved advertisements and established a website, contrary to the Member's policies and procedures and MFDA Rules 2.7.3, 2.5.1, 1.1.2, and 2.1.1;
e)	in March 2017 and May 2017, she attached a copy of signature pages from account forms previously signed by clients to 14 new account forms to process transactions in respect of three clients, contrary to MFDA Rule 2.1.1;
f)	on February 24, 2017, she altered and used one account form to process a transaction without having the client initial the alterations, contrary to MFDA Rule 2.1.1; and
g)	on or about March 15, 2017, she used an unauthorized email account to communicate with a client, contrary to the Member's policies and procedures and MFDA Rules 2.5.1, 1.1.2, and 2.1.1.

A copy of the Settlement Agreement is available on the MFDA website at www.mfda.ca. During the period described in the Settlement Agreement, the Respondent conducted business in Bothwell, 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 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, Managing Director, Litigation, 416-943-4619, [email protected]

Related Links

http://www.mfda.ca