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File No. 2017111

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

Re: Isaac Muhima

Order

(ARISING FROM SETTLEMENT HEARING NOVEMBER 29, 2018)

WHEREAS on August 16, 2018, the Mutual Fund Dealers Association of Canada (the “MFDA”) issued a News Release announcing that it proposes to hold a hearing to consider whether, pursuant to section 24.4 of By-law No. 1, a hearing panel of the Central Regional Council (the “Hearing Panel”) of the MFDA should accept the settlement agreement entered into between Staff of the MFDA (“Staff”) and the Respondent, Isaac Muhima (the “Respondent”)

AND WHEREAS the Respondent entered into a settlement agreement with Staff, dated August 2, 2018 (the “Settlement Agreement”), in which the Respondent agreed to a proposed settlement of matters for which the Respondent could be disciplined pursuant to ss. 20 and 24.1 of By-law No. 1;

AND WHEREAS the Hearing Panel is of the opinion that:

  1. on or about June 20, 2016, the Respondent signed the signature of a client on an account form, and submitted the account form for processing, contrary to MFDA Rule 2.1.1;
  2. on or about June 20, 2016, the Respondent failed to comply with a Member directive to contact a client to review the suitability of the holdings in a client account, contrary to MFDA Rule 2.1.1; and
  3. on or about June 20, 2016, the Respondent failed to use due diligence to learn the essential facts of the client when he completed Know-Your-Client information without having met or discussed the information with the client, contrary to MFDA Rules 2.2.1 and 2.1.1.

IT IS HEREBY ORDERED THAT the Settlement Agreement is accepted, as a consequence of which:

  1. The Respondent shall pay a fine in the amount of $3,500 pursuant to s. 24.1.1(b) of MFDA By-law No.1;
  1. The Respondent shall be prohibited from conducting securities related business in any capacity while in the employ of or associated with a Member of the MFDA for a period of 1 year, pursuant to s. 24.1.1(e) of MFDA By-law No. 1;
  1. The Respondent shall in the future comply with MFDA Rules 2.2.1 and 2.1.1; and
  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.

DATED: Nov 29, 2018

"Martin L. Friedland"

Martin L. Friedland

Chair


"Jeff Page"

Jeff Page

Industry Representative


"Cheryl Hamilton"

Cheryl Hamilton

Industry Representative


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