MFDA issues Notice of Settlement Hearing in respect of Jamie Lee Leonard
TORONTO, May 1, 2020 /CNW/ - The Mutual Fund Dealers Association of Canada ("MFDA") announced that it has issued a Notice of Settlement Hearing dated April 14, 2020 regarding the presentation, review and consideration of a proposed settlement agreement by a Hearing Panel of the MFDA's Central Regional Council.
The settlement agreement will be between Staff of the MFDA and Jamie Lee Leonard ("Respondent") and involves matters for which the Respondent may be disciplined by a Hearing Panel pursuant to MFDA By-laws. The proposed settlement concerns allegations that the Respondent:
a) from December 2015 to February 2017, processed 43 transactions in respect of 38 clients as redemptions and purchases, rather than as switches, which exposed the clients to risk of market loss and which the Respondent knew would result in the transactions counting towards the Member's sales targets for the Respondent, contrary to the Member's policies and procedures, and MFDA Rules 2.1.4, 2.1.1, 1.1.2 and 2.5.1; and
b) from December 2015 to February 2017, failed to execute 18 mutual fund purchases on a timely basis as required by the Member's policies and procedures, which resulted in 21 clients incurring losses in their accounts, contrary to the Member's policies and procedures, and MFDA Rules 2.1.1, 1.1.2 and 2.5.1.
The settlement hearing will take place by electronic hearing June 24, 2020 at 10:00 a.m. (Eastern), or as soon thereafter as the matter can be held. Members of the public who would like to participate should contact [email protected] to obtain particulars.
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 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 81,000 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]
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