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IN THE MATTER OF A SETTLEMENT HEARING PURSUANT TO SECTION 24.4 OF BY-LAW NO. 1 OF THE MUTUAL FUND DEALERS ASSOCIATION OF CANADA

Re: Marc Joseph Robert Bodson

Order

(ARISING FROM SETTLEMENT HEARING DECEMBER 19, 2018)

WHEREAS on January 4, 2018, the Mutual Fund Dealers Association of Canada (the “MFDA”) issued a Notice of Hearing pursuant to sections 20 and 24 of By-law No. 1 in respect of Marc Joseph Robert Bodson (the “Respondent”);

AND WHEREAS the Respondent entered into a settlement agreement with Staff of the MFDA, dated December 19, 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. between February 2012 to October 2015, the Respondent processed transactions in client accounts without obtaining client instructions in respect of the amount of the transaction and the specific mutual fund purchased, thereby engaging in discretionary trading contrary to MFDA Rules 2.3.1 and 2.1.1, and acting beyond the scope of his registration category as a mutual fund salesperson.
  2. between about 2012 and 2015, the Respondent obtained and possessed 5
    pre-signed account forms in respect of 5 clients, contrary to MFDA Rule 2.1.1 and the policies and procedures of the Member.
  3. between October 2012 to March 2016, the Respondent or other persons acting on his behalf altered information on 5 account forms in respect of 3 clients without obtaining the clients’ initials or other evidence recording the clients’ authorization of changes to information on the form, contrary to MFDA Rule 2.1.1 and the policies and procedures of the Member.

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

  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;
  2. The Respondent shall be suspended 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 one month commencing from the date of the final Order, pursuant to s. 24.1.1(c) of MFDA By-law No. 1.
  3. The Respondent shall pay a fine in the amount of $10,000 (the “fine”), pursuant to s. 24.1.1(b) of MFDA By-law No. 1;
  4. The fine shall be paid in monthly instalments starting on January 19, 2019 with the payment of $1666.70 followed by five equal monthly payments of $1666.66;
  5. The fine shall be paid in full by June 19, 2019.
  6. The Respondent shall pay costs in the amount of $5,000 at the date of the final Order, pursuant to s. 24.2 of MFDA By-law No 1.
  7. The Respondent shall in the future comply with MFDA Rules 2.1.1 and 2.3.1.
  8. The Respondent will attend via telephone, on the date set for the Settlement Hearing.

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