Enforcement Statistics

The following tables summarize enforcement cases received and handled for the period January 1 to December 31.

(a) Cases Opened (Click on table to reveal quarterly statistics)

Year Total Cases Opened Escalated to Investigation Escalated to Litigation Group
 2017 348 159 106
2016 446 164 129
2015 448 167 124
2014 418 127 52
2013 426 113 61
2012 474 105 79
2011 458 94 49
2010 512 89 43
2009 582 112 50
2008 452 97 29
2007 353 114 35
2006 340 124 22
2005 502 102 11
2004 298 67 9
2003 258 33 0
2002 44 1 0

(b) Cases Closed (Click on table to reveal quarterly statistics)

Year Case Assessment Investigation Litigation Group Total
2017 183 33 111 327
2016 307 54 89 450
2015 264 44 41 349
2014 276 38 59 373
2013 378 55 50 483
2012 369 55 55 479
2011 382 56 46 484
2010 443 55 44 542
2009 433 46 15 494
2008 289 85 22 396
2007 324 79 19 422
2006 240 66 14 320
2005 265 57 7 329
2004 240 33 1 274
2003 146 6 0 152
2002 25 0 0 25

(c) Active Caseload as at September 30, 2017 (Click on table to reveal provincial statistics)

Jurisdiction Case Assessment Investigation Litigation Group All Groups
Total Atlantic Region 4 7 8 19
Total Central Region 75 83 148 306
Total Prairie Region 31 21 36 88
Total Pacific Region 20 25 25 70
Canada 130 136 217 483

(d) Cases in which Discipline Imposed (Click on table to reveal quarterly statistics)

Year Cautionary Letter* Warning Letter* Agreement and Undertaking Notice of Hearing
2017 50 87 0 91
2016 86 120 0 111
2015 86 85 1 69
2014 95 90 0 48
2013 138 137 0 65
2012 135 86 0 48
2011 151 81 0 36
2010 181 69 0 35
2009** 70 192 2 31
2008 0 225 7 31
2007 0 218 17 20
2006 0 119 10 8
2005 0 136 18 14
2004 0 60 2 1
2003 0 11 0 0
2002 0 0 0 0

*Each Case may result in informal discipline to one or more subjects
**Cautionary letters were introduced in July 2009

(e) Cases Opened by Type (January 1, 2016 to September 30, 2017)

Type Number of
cases*
Percentage
of total

Pre-Signed Forms

72 20%
Active Signature Falsification 32 9%
Suitability – Investments 32 9%
Unauthorized/Discretionary Trading 22 6%
Commissions and Fees 20 6%
Business Standards 19 5%
Outside Activity 18 5%
Falsification / Misrepresentation 16 4%
Conflict of Interest 13 4%
Suitability – Leveraging 12 3%
Complaint Procedure 12 3%
Personal Financial Dealings 11 3%
Transfer of Accounts 9 2%
Forgery / Fraud / Theft / Misappropriation / Misapplication 9 2%
Policy & Procedures 8 2%
Acting Outside Registration Status 8 2%
Supervision 8 2%
Disclosure 7 2%
Provincial Securities Legislation 4 1%
Books/Records/Client Reporting 3 1%
Know Your Product 3 1%
Reporting Violations 2 1%
KYC Documentation Deficiency 2 1%
Conduct Unbecoming 1 1%
Excessive Trading/Churning 1 1%
Referral Arrangements 1 1%
Stealth Advising 1 1%
Sales Communication 1 1%
Handling of Funds 1 1%
Total 348 100%

*”Type” refers to the primary allegation in the case, whether or not the alleged conduct was found to have occurred.

(f) Cases Opened by Source (January 1, 2017 to September 30, 2017)

Source Number of
cases
Percentage
of total
METS 229 65%
Public 87 25%
MFDA Sales Compliance 12 3%
CSA and Other Regulators 8 2%
Whistleblower 5 1%
MFDA Financial Compliance 2 1%
Member 2 1%
Other 2 1%
Financial Industry Participant 1 1%
Total 348 100%

(g) Cases Closed by Reason (January 1, 2017 to September 30, 2017)

Reason Number of
cases
Percentage
of total
Warning Letter 87 26%
Hearing – Settlement – Violation Established 83 25%
No Violation Established 75 23%
Cautionary Letter(s) Sent 50 15%
Hearing – Violation Established 19 5%
Referred To Other Enforcement Case 10 3%
Under Review by Outside Agency 1 1%
Hearing- No Violation Established 1 1%
Referred – Issues outside MFDA jurisdiction 1 1%
Total 327 100%

(h) METS Events Reported (January 1 to September 30) (Click to Reveal Quarterly Details)

Year Total Events Reported*
 2017 3,243
2016 3.501
2015 3,777
2014 3,379
2013 3,366
 2012 3,053
2011 2,416
2010 2,571
2009 2,880
2008 2,501
2007 763

*Numbers may change as a result of updates made to the system