MFDA Hearing Panel approves six settlement agreements

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Mutual Fund Dealers Association of Canada

Jul 28, 2017, 16:44 ET

TORONTO, July 28, 2017 /CNW/ - On July 27, 2017, a three-person Hearing Panel of the Central Regional Council of the Mutual Fund Dealers Association of Canada ("MFDA") heard the following six (6) proceedings, the particulars of which are:

Goran Stanimirovic

A settlement hearing in the matter of Goran Stanimirovic ("Stanimirovic") was held on July 27, 2017 at which the Hearing Panel approved the settlement agreement ("Settlement Agreement") between Staff of the MFDA and Stanimirovic, as a consequence of which the following sanctions were imposed:

  • a prohibition from conducting securities related business in any capacity while in the employ of or associated with a Member of the MFDA for a period of 3 years; and
  • shall in the future comply with MFDA Rule 2.1.1.

In the Settlement Agreement, Stanimirovic admitted that:

a)     

on November 6, 2015, he falsified the signature of one (1) client on one account form, contrary to MFDA Rule 2.1.1; and


b)     

between January 2016 and April 2016, he misled MFDA Staff during the course of an investigation into his conduct when he falsely advised MFDA Staff that he did not falsify the signature of a client on an account form, contrary to MFDA Rule 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, Stanimirovic carried on business in the Mississauga, Ontario area.

Amrit Sharma

A settlement hearing in the matter of Amrit Sharma ("Sharma") was held on July 27, 2017 at which the Hearing Panel approved the settlement agreement ("Settlement Agreement") between Staff of the MFDA and Sharma, as a consequence of which the following sanctions were imposed:

  • a fine in the amount of $5,000;
  • costs in the amount of $2,500; and
  • shall in the future comply with MFDA Rule 2.1.1.

In the Settlement Agreement, Sharma admitted that between March 2013 and August 2014, he obtained, possessed, and in some instances, used to process transactions, 18 pre-signed account forms in respect of seven (7) clients, contrary to MFDA Rule 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, Sharma carried on business in the Greater Toronto, Ontario area.

Jeffery John Burchill

A settlement hearing in the matter of Jeffery John Burchill ("Burchill") was held on July 27, 2017 at which the Hearing Panel approved the settlement agreement ("Settlement Agreement") between Staff of the MFDA and Burchill, as a consequence of which the following sanctions were imposed:

  • Burchill shall be prohibited from conducting securities related business in any capacity while in the employ of or associated with a Member of the MFDA for a 30 day period between August 15, 2017 and September 14, 2017;
  • a fine in the amount of $20,000 pursuant to s. 24.1.1(b) of MFDA By-law No.1 with $10,000 due upon approval of this settlement agreement and the balance due on August 1, 2017;
  • costs in the amount of $2,500; and
  • shall in the future comply with MFDA Rule 2.1.1.

In the Settlement Agreement, Burchill admitted that between October 2003 and February 2015, he obtained, possessed, and used to process transactions, 222 pre-signed account forms in respect of 92 clients, contrary to MFDA Rule 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, Burchill carried on business in Sarnia, Ontario.

John-Paul Tantalo

A settlement hearing in the matter of John-Paul Tantalo ("Tantalo") was held on July 27, 2017 at which the Hearing Panel approved the settlement agreement ("Settlement Agreement") between Staff of the MFDA and Tantalo, as a consequence of which the following sanctions were imposed:

  • a fine in the amount of $12,500;
  • costs in the amount of $2,500;

a)     

Tantalo shall pay the Fine and Costs in certified funds as follows:

i.

$2,500 (Costs) upon entering into the Settlement Agreement;

ii.

$1388.88 on the last business day of August 2017;

iii.

$1388.88 on the last business day of September 2017;

iv.

$1388.88 on the last business day of October 2017;

v.

$1388.88 on the last business day of November 2017;

vi.

$1388.88 on the last business day of December 2017;

vii.

$1388.88 on the last business day of January 2018;

viii.

$1388.88 on the last business day of February 2018;

ix.

$1388.88 on the last business day of March 2018; and

x.

$1388.88 on the last business day of April 2018;

        

  • If Tantalo fails to make any of the payments described above in paragraph 5:

a)     

any outstanding balance of the Fine and Costs owed by Tantalo shall become immediately due and payable to the MFDA; and


b)     

Tantalo shall be immediately suspended from conducting securities related business while in the employ of or associated with a Member of the MFDA until such time as the total amount outstanding of Fine and Costs owed by Tantalo is paid to the MFDA, pursuant to s. 24.3.13(c) of MFDA By-law No.1; and
  • shall in the future comply with MFDA Rule 2.1.1.

In the Settlement Agreement, Tantalo admitted that:

a)     

between September 9, 2009 and January 8, 2015, he obtained, possessed, and in some instances, used to process transactions, 14 pre-signed account forms in respect of 13 clients, contrary to MFDA Rule 2.1.1;


b)     

between September 9, 2009 and January 8, 2015, he altered and in some instances, used to process transactions, 5 account forms in respect of 5 clients, by altering information on the account forms without having the clients initial the alterations, contrary to MFDA Rule 2.1.1; and


c)     

between 2009 and 2015, on 6 occasions, he failed to accurately respond the Member's annual compliance questionnaire by incorrectly affirming that he did not maintain any pre-signed account forms in client files, contrary to MFDA Rule 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, Tantalo carried on business in the Newmarket, Ontario area.

Maria Peregrina Fernandes Dias Pereira

A settlement hearing in the matter of Maria Peregrina Fernandes Dias Pereira ("Pereira") was held on July 27, 2017 at which the Hearing Panel approved the settlement agreement ("Settlement Agreement") between Staff of the MFDA and Pereira, as a consequence of which the following sanctions were imposed:

  • Pereira shall pay a fine in the amount of $7,000 pursuant to s. 24.1.1(b) of MFDA By-law No. 1 (the "Fine");
  • Pereira shall pay costs in the amount of $2,500 pursuant to s. 24.2 of MFDA By-law No. 1 ("Costs");
  • Pereira shall pay the Fine and Costs in certified funds as follows:

a)     

$2,500 (Costs) payable upon entering into the Settlement Agreement;

b)     

$583.33 on the last business day of August 2017;

c)     

$583.33 on the last business day of September 2017;

d)    

$583.33 on the last business day of October 2017;

e)     

$583.33 on the last business day of November 2017;

f)      

$583.33 on the last business day of December 2017;

g)       

$583.33 on the last business day of January 2018;

h)     

$583.33 on the last business day of February 2018;

i)       

$583.33 on the last business day of March 2018;

j)       

$583.33 on the last business day of April 2018;

k)     

$583.33 on the last business day of May 2018;

l)       

$583.33 on the last business day of June 2018;

m)   

$583.33 on the last business day of July 2018;
  • if Pereira fails to make any of the payments described in paragraph 5(a)-(c), any outstanding balance of the Fine and Costs shall become immediately due and payable to the MFDA and Pereira shall be immediately suspended from conducting securities related business while in the employ of or associated with a Member of the MFDA until such time as the total amount outstanding of Fine and Costs owed by Pereira is paid to the MFDA, pursuant to s. 24.3.13(c) of MFDA By-law No.1;
  • Pereira shall in the future comply with MFDA Rule 2.1.1.

In the Settlement Agreement, Pereira admitted that:

a)     

between March 2003 and March 2015, she altered and, in some instances, used to process transactions, 3 account forms in respect of 3 clients by altering information on the account forms without having the clients initial the alterations, contrary to MFDA Rule 2.1.1; and



b)     

between March 2003 and March 2015, she obtained, possessed and, in some instances, used to process transactions, 8 pre-signed account forms in respect of 7 clients, contrary to MFDA Rule 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, Pereira carried on business in the Mississauga, Ontario area.

Susan Bernadette Doyle

A settlement hearing in the matter of Susan Bernadette Doyle ("Doyle") was held on July 27, 2017 at which the Hearing Panel approved the settlement agreement ("Settlement Agreement") between Staff of the MFDA and Doyle, as a consequence of which the following sanctions were imposed:

  • a prohibition from conducting securities related business in any capacity while in the employ of or associated with a Member of the MFDA for a period of 3 years; and
  • shall in the future comply with MFDA Rule 2.1.1.

In the Settlement Agreement, Doyle admitted that:

a)     

on or about July 31, 2015, she opened an account and processed a trade for a client without communicating with the client, thereby failing to use due diligence to learn the essential facts relative to the client and each order or account accepted, contrary to the Member's policies and procedures and MFDA Rules 2.2.1, 1.1.2, 2.5.1 and 2.1.1; and


b)     

on or about July 31, 2015, she submitted to the Member for processing, 3 forms that she knew contained client signatures that were falsified by another Approved Person in order to open an account for a client and process a trade, contrary to MFDA Rule 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, Doyle carried on business in the Ottawa, 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 83,000 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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http://www.mfda.ca

Organization Profile

Mutual Fund Dealers Association of Canada

The Mutual Fund Dealers Association of Canada (MFDA) is the national self-regulatory organization (SRO) for the distribution side of the Canadian mutual fund industry. It was established in June 1998 at the initiative of the Canadian Securities Administrators. The MFDA...