MFDA Hearing Panel issues Reasons for Decision in the matter of Lachman Balani
TORONTO, Jan. 16, 2015 /CNW/ - A Hearing Panel of the Central Regional Council of the Mutual Fund Dealers Association of Canada ("MFDA") has issued its Reasons for Decision in connection with a settlement hearing held in Toronto, Ontario on December 8, 2014, in the matter of Lachman Hassaram Balani (the "Respondent"). The Reasons for Decision relate to the Hearing Panel's acceptance of the settlement agreement (the "Settlement Agreement") entered into between the Respondent and Staff of the MFDA. In its Reasons for Decision dated January 15, 2015, the Hearing Panel confirmed the following sanctions imposed on the Respondent:
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a fine in the amount of $10,000; |
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costs in the amount of $2,500; |
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the payment by the Respondent of the fine and costs in subparagraphs (a) and (b) above shall be made to and received by MFDA Staff in certified funds, of which timeline for each payment is outlined in the Settlement Agreement; |
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if the Respondent fails to make any of the payments as described in the Settlement Agreement, then: |
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any outstanding balance of fine and costs owed by the Respondent shall immediately become due and payable to the MFDA; and |
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the Respondent shall immediately be suspended from conducting securities related business while in the employ of, or associated with, a Member of the MFDA, pursuant to section 24.3.13(c) until such time as the total amount of the outstanding fine and costs owed by the Respondent to the MFDA is paid to the MFDA; and |
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the Respondent shall in the future comply with MFDA Rules, By-law and Policy, including MFDA Rule 2.1.1 |
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In the Settlement Agreement, the Respondent admits that, between March 2010 and February 2013, he obtained and maintained approximately 89 account and trade forms in 23 client accounts which were signed by clients when the forms were blank or only partially complete, and used the forms to process transactions in client accounts, 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 carried on business in the Brampton, 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 107 Members and their approximately 80,000 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
Hugh Corbett, Managing Director, Enforcement, 416-943-4685, [email protected]
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