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

Re: James Chan

Order

ARISING FROM SETTLEMENT HEARING ON JUNE 28, 2018

WHEREAS on April 24, 2018, the Mutual Fund Dealers Association of Canada (the “MFDA”) issued a Notice of Settlement Hearing pursuant to section 24.4 of By-law No. 1 in respect of James Chan (the “Respondent”);

AND WHEREAS the Respondent entered into a settlement agreement with Staff of the MFDA, dated April 23, 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 April 2016 and August 2016, the Respondent obtained, possessed and, in some instances, used to process transactions, 6 pre-signed account forms, contrary to MFDA Rule 2.1.1; and
  2. on April 20, 2016, the Respondent, in his capacity as branch manager, reviewed and approved the use of 1 pre-signed account form, contrary to MFDA Rules 2.5.5(f) 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 $7,500 in certified funds upon acceptance of the Settlement Agreement, pursuant to s. 24.1.1(b) of MFDA By-law No. 1;
  1. the Respondent shall pay costs in the amount of $2,500 in certified funds upon acceptance of the Settlement Agreement, pursuant to s. 24.2 of MFDA By-law No. 1;
  1. the Respondent shall be prohibited from acting as a branch manager for a period of 1 month, pursuant to s. 24.1.1(e) of MFDA By-Law No. 1;
  1. the Respondent shall in the future comply with MFDA Rules 2.5.5 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: Jun 28, 2018

"Paul M. Moore, QC"

Paul M. Moore, QC

Chair


"Guenther W.K. Kleberg"

Guenther W.K. Kleberg

Industry Representative


"Edward V. Jackson"

Edward V. Jackson

Industry Representative


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