MFDA Order

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File No. 2016101

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: Steven Thomas Bott

Order

(ARISING FROM DECISION AND REASONS DATED ON APRIL 17, 2017)

WHEREAS on November 24, 2016, the Mutual Fund Dealers Association of Canada (“MFDA”) issued a Notice of Hearing pursuant to sections 20 and 24 of By-law No. 1 in respect of a disciplinary proceeding commenced against Steven Thomas Bott (“Respondent”);

AND WHEREAS on April 5, 2017 the hearing panel of the Central Regional Council of the MFDA (“Hearing Panel”) conducted a hearing of the matters as described in the Notice of Hearing;

AND WHEREAS the Respondent failed to serve and file a Reply to the Notice of Hearing;

AND WHEREAS no one appeared on behalf of the Respondent and no materials were filed on behalf of the Respondent;

AND WHEREAS counsel for Staff of the MFDA made submissions to the Hearing Panel;

AND WHEREAS in the opinion of the Hearing Panel:

  1. between May 16, 2013 and February 27, 2015, the Respondent was indebted to a client in the amount of approximately $14,050 and was a joint owner of a bank account with the client, thereby engaging in personal financial dealings with a client which gave rise to a conflict or potential conflict of interest between the Respondent and the client that 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 1.1.2, 2.1.1, 2.1.4 and 2.5.1.

IT IS HEREBY ORDERED THAT:

  1. If at any time a non-party to this proceeding, with the exception of the bodies set out in section 23 of MFDA By-law No. 1, requests production of or access to exhibits in this proceeding that contain personal information as defined by the MFDA Privacy Policy, then the MFDA Corporate Secretary shall not provide copies of or access to the requested exhibits to the non-party without first redacting from them any and all personal information, pursuant to Rules 1.8(2) and (5) of the MFDA Rules of Procedure;
  1. The Respondent is permanently prohibited from conducting securities related business in any capacity while in the employ of, or in association with, any MFDA Member, pursuant to s. 24.1.1(e) of MFDA By-law No. 1;
  1. The Respondent shall pay a fine in the amount of $25,000 pursuant to s. 24.1.1(b) of MFDA By-law No. 1; and
  1. The Respondent shall pay costs in the amount of $5,000 pursuant to s. 24.2 of MFDA By-law No. 1.

DATED: Apr 17, 2017

"Martin L. Friedland"

Martin L. Friedland

Chair


"Guenther W. K. Kleberg"

Guenther W. K. Kleberg

Industry Representative


"Kenneth P. Mann"

Kenneth P. Mann

Industry Representative


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