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Order

Re:

Order

Order
File No. 201135






IN THE MATTER OF A DISCIPLINARY HEARING
PURSUANT TO SECTIONS 20 AND 24 OF BY-LAW NO. 1 OF
THE MUTUAL FUND DEALERS ASSOCIATION OF CANADA


Re: Christophe Xavier Taylor



ORDER


WHEREAS on July 20, 2012, the Mutual Fund Dealers Association of Canada (the
“MFDA”) issued a Notice of Hearing pursuant to sections 20 and 24 of MFDA By-law No. 1 in
respect of a disciplinary proceeding commenced against Christophe Xavier Taylor (the
“Respondent”);

AND WHEREAS the first appearance in this hearing was held before a panel of the
Prairie Regional Council of the MFDA (the “Hearing Panel”) on August 30, 2012;

AND WHEREAS on January 24, 2013, the hearing on the merits of this matter was held
before the Hearing Panel and proceeded by way of an Agreed Statement of Facts (“ASF”) in
which the Respondent admitted that he engaged in misconduct, as set out in the ASF;

AND WHEREAS the Hearing Panel considered the evidence filed and the submissions
of counsel for the Respondent and MFDA Staff;


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AND WHEREAS in the opinion of the Hearing Panel:

a) Between April 2007 and April 2009, the Respondent engaged in securities related
business that was not carried out for the account and through the facilities of the Member
by selling, recommending or facilitating the sale of investments in a real estate
development company to clients and other individuals, contrary to MFDA Rules 1.1.1(a)
and 2.1.1 (“Contravention #1”); and

b) Between the fall of 2007 and April 2009, the Respondent failed to comply with the
Member’s policies and procedures by failing to respond to inquiries by the Member
truthfully and, in particular, by failing to disclose to the Member his:

i.
participation in the purchase of shares of a real estate development company with
at least 28 clients and 9 other individuals through a corporation of which he was
the sole director and officer; and

ii.
participation in the purchase of shares of the same real estate development
company with at least 4 clients and 1 other individual, which shares were issued
and held in the Respondent’s name only,

thereby interfering with the ability of the Member to supervise the Respondent and
comply with its obligations under MFDA Rule 2.1.4, contrary to MFDA Rules 1.1.2 and
2.5.1, and MFDA Rule 2.1.1 (“Contravention #2”).

IT IS HEREBY ORDERED THAT:

1.
If at any time a non-party to this proceeding requests production of, or access to, any
materials filed in, or the record of, this proceeding, including all exhibits and transcripts, then the
MFDA Corporate Secretary shall not provide copies of, or access to, the requested documents to
the non-party without first redacting from them any and all intimate financial or personal
information, pursuant to Rules 1.8(2) and (5) of the MFDA Rules of Procedure;

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2.
The Respondent:

a)
shall pay, on or before May 24, 2013, a fine in the amount of $10,000 in relation to
Contravention #1 and a fine in the amount of $5,000 in relation to Contravention #2,
pursuant to s. 24.1.1(b) of MFDA By-law No. 1 (the “Fines”);

b)
shall pay, on or before May 24, 2013, costs in the amount of $5,000, pursuant to s.
24.2 of MFDA By-law No. 1 (the “Costs”);

c)
is suspended from conducting securities related business in any capacity over which
the MFDA has jurisdiction for a period of two years commencing on the date of this
Order, pursuant to s. 24.1.1(c) of MFDA By-law No. 1 (the “Suspension”);

d)
prior to the conclusion of the Suspension:

i. shall divest himself completely and irrevocably of any and all of his
holdings and investments in Asian Coast Development (Canada) Ltd. (the
“Respondent’s ACDL Investment”), by transferring them to an arms
length third party; and

ii. the Respondent shall provide written confirmation to, and satisfy, Staff of
the MFDA that he has divested himself completely and irrevocably of, and
transferred to an arms length third party, the Respondent’s ACDL
Investment;

failing which the Respondent shall be permanently prohibited from conducting
securities related business in any capacity over which the MFDA has jurisdiction,
pursuant to s. 24.1.1(e) of MFDA By-law No. 1; and

e)
the Respondent shall write or re-write and pass an appropriate industry course on
ethics acceptable to MFDA Staff, prior to being re-registered in the mutual fund
industry, pursuant to s. 24.1.1(f) of MFDA By-law No. 1.
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3.
The Respondent shall be permanently prohibited from conducting securities related
business in any capacity over which the MFDA has jurisdiction if he fails to pay the Fines and
the Costs on or before May 24, 2013, pursuant to s. 24.1.1(e) of MFDA By-law No. 1.

DATED this 24th day of January, 2013.

“Robert Hucal”
Robert Hucal,

Chair

“Howard Mix”
Howard Mix,

Industry Representative

“Daniele Ayers”
Daniele Ayers,
Industry Representative

Doc 329206
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