MFDA Hearing Panel makes findings against Grant Manning

TORONTO, Dec. 21, 2015 /CNW/ - The Mutual Fund Dealers Association of Canada ("MFDA") commenced a disciplinary proceeding in respect of Grant Monty Manning (the "Respondent") by Notice of Hearing dated April 20, 2015 (the "Notice of Hearing").

The hearing of this matter on its merits was held December 18, 2015 in Toronto, Ontario before a three-person Hearing Panel of the MFDA's Central Regional Council. Prior to the hearing, the parties filed an Agreed Statement of Facts (the "Agreed Statement of Facts") in which the Respondent admitted to facts constituting contraventions of MFDA By-laws, Rules or Policies, for which he could be penalized by a Hearing Panel pursuant to section 24.1 of MFDA By-law No. 1. In particular, the Respondent admitted that:

(a)	Between March 8, 2002 and November 26, 2012, he engaged in personal financial dealings with client KK where:
	(i)	client KK held $390,000 in shares and promissory notes of Manning Insurance and Investments Co. Ltd. ("MIIC"), a corporation in which the Respondent had a direct or indirect interest, during the time the Respondent was responsible for servicing his mutual fund accounts; and
	(ii)	he recommended and facilitated a loan of $36,000 by client KK to MIIC;
	thereby giving rise to actual or potential conflicts of interest between the Respondent and client KK which the Respondent failed to address by the exercise of responsible business judgment influenced only by the best interests of the client, contrary to MFDA Rules 2.1.4 and 2.1.1.
(b)	Between March 8, 2002 and November 26, 2012, he misled the Members with which he was registered by falsely stating that he had not engaged in personal financial dealings with a client, thereby failing to observe high standards of ethics and conduct in the transaction of business and interfering with the ability of the Members to conduct reasonable supervisory investigations of the Respondent's activities, contrary to MFDA Rules 1.1.2, 2.5.1 and 2.1.1.
(c)	Commencing October 25, 2013, he has failed to attend an interview to provide a statement and to produce information, documents and records as requested by MFDA Staff during the course of an investigation, contrary to section 22.1 of MFDA By-law No. 1.

Following submissions from the parties, the Hearing Panel imposed the following sanctions on the Respondent and advised that it will issue written reasons for its decision in due course:

• a ten (10) year prohibition from conducting securities related business in any capacity over which the MFDA has jurisdiction;
• a fine in the amount of $50,000; and
• costs in the amount of $5,000.

Copies of the Notice of Hearing and the Agreed Statement of Facts are available on the MFDA website at www.mfda.ca. During the period described in the Agreed Statement of Facts, the Respondent conducted business in the Mississauga, 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 101 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]