WHEREAS on August 3, 2023, the Canadian Investment Regulatory Organization (“CIRO”) issued a Notice of Settlement Hearing pursuant to Mutual Fund Dealer Rule 7.4.4 in respect of a disciplinary proceeding against Miranda Sirri Che (the “Respondent”) that was scheduled to take place on October 10, 2023 before a hearing panel of the Saskatchewan District Hearing Committee of CIRO (the “Hearing Panel”);
AND WHEREAS the Respondent entered into a settlement agreement with Staff of CIRO (“Staff”) dated August 2, 2023 (the “Settlement Agreement”), in which the Respondent agreed to a proposed settlement of matters for which the Respondent could be disciplined pursuant to Mutual Fund Dealer Rules 7.3 and 7.4.1;
AND WHEREAS on October 3, 2023, CIRO provided notice to the public that the Settlement Hearing in respect of the Respondent would take place on October 10, 2023 by publishing the Notice of Settlement Hearing;
AND WHEREAS Staff made a request to the Hearing Panel pursuant to Rule 2.2.(1)(a) of the Mutual Fund Dealer Rules of Procedure (the “ROP”) for the abridgement of the ten day notice period required by Rule 15.2 of the ROP in order to permit the Hearing Panel to proceed with the Settlement Hearing on October 10, 2023;
AND WHEREAS based upon the admissions of the Respondent in the Settlement Agreement, the Hearing Panel is of the opinion that:
Between January 15, 2021 and March 11, 2021, the Respondent signed the signatures of six clients on 8 account forms and submitted the account forms to the Dealer Member for processing, contrary to Mutual Fund Dealer Rule 2.1.1 (formerly MFDA Rule 2.1.1).
IT IS HEREBY ORDERED THAT the ten day notice period required according to Rule 15.2 of the ROP is abridged in accordance with Rules 1.3, 1.5 and 2.2(1)(a) of the ROP and the Settlement Agreement is accepted, as a consequence of which:
- The Respondent is prohibited from conducting securities related business in any capacity while in the employ of or associated with any Dealer Member of the Corporation registered as a mutual fund dealer for a period of three months, commencing on the date of this Order, pursuant to Mutual Fund Dealer Rule 220.127.116.11(e);
- The Respondent shall pay costs in the amount of $5,000 in certified funds on the date of this Order, pursuant Mutual Fund Dealer Rule 7.4.2.
- The Respondent shall pay a fine in the amount of $14,000 (the “Fine”), pursuant to Mutual Fund Dealer Rule 18.104.22.168(b) which shall be payable to CIRO in 11 monthly instalments in accordance with the following schedule:
- $1,300 (Fine) on or before November 30, 2023;
- $1,300 (Fine) on or before December 29, 2023;
- $1300 (Fine) on or before January 31, 2024;
- $1300 (Fine) on or before February 29, 2024;
- $1300 (Fine) on or before March 29, 2024;
- $1300 (Fine) on or before April 30, 2024;
- $1300 (Fine) on or before May 31 2024;
- $1300 (Fine) on or before June 28, 2024;
- $1300 (Fine) on or before July 31, 2024;
- $1300 (Fine) on or before August 30, 2024; and
- $1000 (fine) on or before September 30, 2024.
- If the Respondent fails to make any of the payments described above in paragraph 3 above when the payments become due, then the full outstanding balance of the Fine that the Respondent has not yet paid shall become immediately due and payable to CIRO;
- The Respondent shall in the future comply with Mutual Fund Dealer Rule 2.1.1; and
Sherri WalshSherri WalshChair
Annette StephensAnnette StephensIndustry Representative
James SamantaJames SamantaIndustry Representative
On January 1, 2023, the Investment Industry Regulatory Organization of Canada (“IIROC”) and the Mutual Fund Dealers Association of Canada (the “MFDA”) were consolidated into a single self-regulatory organization recognized under applicable securities legislation. The New Self-Regulatory Organization of Canada (referred to herein as the “Corporation”) adopted interim rules that incorporate the pre-amalgamation regulatory requirements contained in the rules and policies of IIROC and the by-law, rules and policies of the MFDA (the “Interim Rules”). The Interim Rules include (i) the Investment Dealer and Partially Consolidated Rules, (ii) the UMIR and (iii) the Mutual Fund Dealer Rules. These rules are largely based on the rules of IIROC and certain by-laws, rules and policies of the MFDA that were in force immediately prior to amalgamation. Where the rules of IIROC and the by-laws, rules and policies of the MFDA that were in force immediately prior to amalgamation have been incorporated into the Interim Rules, Enforcement Staff have referenced the relevant section of the Interim Rules. Pursuant to Mutual Fund Dealer Rule 1A and s.14.6 of By-Law No.1 of the Corporation, contraventions of former MFDA regulatory requirements may be enforced by the Corporation.