MFDA Hearing Panel issues Reasons for Decision in the matter of David Lillie
TORONTO, Feb. 28, 2018 /CNW/ - A Hearing Panel of the Central Regional Council of the Mutual Fund Dealers Association of Canada ("MFDA") has issued its Reasons for Decision dated February 27, 2018 in connection with a settlement hearing held in Toronto, Ontario on January 25, 2018 in the matter of David Grahame Lillie ("Respondent").
In its Reasons for Decision, the Hearing Panel confirmed the sanctions imposed on the Respondent, namely:
- a fine in the amount of $30,000;
- costs in the amount of $2,500;
- successful completion of the Conduct and Practices Handbook course offered by the Canadian Securities Institute within six months of the date of the acceptance of the Settlement Agreement; and
- shall in the future comply with MFDA Rules 1.1.1, 1.1.2 and 2.1.1.
In the Settlement Agreement dated August 22, 2017, the Respondent admitted that:
| a) |
on or about November 5, 2014, he arranged for three clients to complete five new account application forms in order to facilitate the transfer of the client accounts to a new Member, prior to being registered with the new Member, thereby engaging in registerable activity and securities related business on behalf of a Member that the Respondent was not registered with, contrary to MFDA Rules 1.1.1, 1.1.2 and 2.1.1; |
| b) |
between November 5, 2014 and February 2016, he obtained, possessed, and in some instances, used to process transactions, 26 pre-signed account forms in respect of 18 clients, contrary to MFDA Rule 2.1.1; and |
| c) |
on December 5, 2014 and February 10, 2015, he falsified two account forms and used them to process a transaction, by altering information on the account forms without having the clients initial the alterations, contrary to MFDA Rule 2.1.1. |
Copies of the Reasons for Decision and the Settlement Agreement are available on the MFDA website at www.mfda.ca. During the period described in the Reasons for Decision, the Respondent conducted business in the Sault Ste. Marie, 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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