Order

WHEREAS on January 18, 2016, the Mutual Fund Dealers Association of Canada (“MFDA”) issued a Notice of Hearing pursuant to sections 20 and 24 of MFDA By-law No. 1 in respect of a disciplinary proceeding commenced against Mervin Evans Visneskie (“Respondent”);

AND WHEREAS the Respondent filed a Reply on March 31, 2016;

AND WHEREAS appearances in this matter proceeded before a Hearing Panel of the Central Regional Council of the MFDA (“Hearing Panel”) on May 9, 2016, November 21, 2016, March 6, 2017, July 11, 2017, and October 24, 2017;

AND WHEREAS the Hearing on the Merits (“Hearing”) proceeded before the Hearing Panel in Toronto, Ontario on October 30, 2017;

AND WHEREAS the Respondent did not attend at the Hearing, either in person or represented by counsel;

AND WHEREAS at the Hearing, the Hearing Panel considered the evidence and submissions presented by counsel for MFDA Staff with respect to the alleged misconduct including:

• the affidavits and materials filed and marked as exhibits at the Hearing; and
• the oral submissions of Staff of the MFDA at the Hearing;

AND WHEREAS on the basis of the evidence and submissions presented during the Hearing on the Merits, the Hearing Panel found that the Respondent:

1. commencing in 2002, engaged in personal financial dealings with eight clients by requesting and accepting a total of approximately $764,300 from the clients, which he failed to repay in full or otherwise account for, thereby placing his own interests ahead of the clients’ interests and creating a conflict or potential conflict of interest which the Respondent failed to address by the exercise of responsible business judgment influenced only by the best interests of the clients, contrary to MFDA Rules 2.1.4 and Rule 2.1.1; and
2. between 2002 and 2013, misled the Members with whom he was registered with respect to his personal financial dealings with eight clients, thereby interfering with the Member’s ability to conduct a reasonable supervisory investigation of the Respondent’s activities and failing to observe high standards of ethics and conduct in the transaction of business, contrary to MFDA Rule 2.1.1.

AND WHEREAS evidence filed during the Hearing on the Merits (which comprises part of the record) includes intimate financial and personal information of individuals;

AND WHEREAS the Hearing Panel will issue its Reasons for Decision regarding misconduct;

AND WHEREAS a penalty hearing will be scheduled to proceed once the Hearing Panel has issued its Reasons for Decision regarding misconduct;

IT IS HEREBY ORDERED THAT:

1. if at any time a non-party to this proceeding requests production of, or access to, any materials filed in, or the record of, this proceeding, including all exhibits and transcripts, the MFDA Corporate Secretary shall not provide copies of, or access to, the requested documents to the non-party without first redacting from them any and all intimate financial or personal information, pursuant to Rules 1.8(2) and (5) of the MFDA Rules of Procedure.