MFDA issues Notice of Settlement Hearing in respect of Deryl Thompson
TORONTO, May 27, 2021 /CNW/ - The Mutual Fund Dealers Association of Canada ("MFDA") announced that it has issued a Notice of Settlement Hearing dated May 18, 2021, regarding the presentation, review and consideration of a proposed settlement agreement by a Hearing Panel of the MFDA's Prairie Regional Council.
The settlement agreement will be between Staff of the MFDA and Deryl Emerson Francis Thompson ("Respondent") and involves matters for which the Respondent may be disciplined by a Hearing Panel pursuant to MFDA By-laws. The proposed settlement agreement concerns allegations that the Respondent:
a) |
between 2008 and until at least July 2016, failed to use adequate due diligence to ensure that investment recommendations that he made to clients were suitable when he recommended that the clients concentrate all or substantially all of their investment holdings in precious metals sector mutual funds, contrary to MFDA Rules 2.2.1 and 2.1.1; |
b) |
between 2008 and until at least July 2016, failed to accurately record the essential KYC factors relevant to each client and to each order and account that he accepted, but instead recorded KYC information for each client that would be consistent with his investment recommendations to those clients to ensure that the investments appeared to be suitable, contrary to MFDA Rules 2.2.1 and 2.1.1; and |
c) |
between 2008 and until at least July 2016, failed to adequately explain to clients the risks of holding investments concentrated in precious metals sector mutual funds and thereby failed to present the investment recommendations to clients in a fair and balanced manner, contrary to MFDA Rules 2.2.1 and 2.1.1. |
The settlement hearing will take place by electronic hearing on June 1, 2021, commencing at 10:00 a.m. (Mountain), or as soon thereafter as the matter can be held. Members of the public who would like to obtain particulars should contact [email protected].
MFDA settlement hearings are typically held in the absence of the public pursuant to section 20.5 of MFDA By-law No. 1 and Rule 15.2(2) of the MFDA Rules of Procedure. If the Hearing Panel accepts the settlement agreement, then the proceeding will become open to the public and a copy of the decision of the Hearing Panel and the settlement agreement will be made available at www.mfda.ca.
A copy of the Notice of Settlement Hearing is available on the MFDA website at www.mfda.ca. During the period described in the Notice of Settlement Hearing, the Respondent conducted business out in the Edmonton, Alberta 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 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
Charles Toth, Vice-President, Enforcement, 416-943-4619, [email protected]; Mark Stott, Vice-President, Prairie Region, 403-215-8329, [email protected]
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