MFDA Releases 2017 Annual Enforcement Report
May 3, 2018 (Toronto, Ontario) – Today the MFDA released its 2017 Annual Enforcement Report which highlights the MFDA’s enforcement activities in combating unsuitable investment recommendations, falsification, unauthorized outside business activities and other securities regulatory breaches.
The report includes information about how the MFDA Enforcement Department operates, its key achievements, and describes significant disciplinary cases completed in 2017.
“I am pleased to present the Annual Enforcement Report for 2017 which highlights a significant increase in enforcement activity over the past year and demonstrates the MFDA’s continued commitment to protect investors and hold those who breach MFDA rules accountable for their misconduct,” said MFDA President and CEO Mark Gordon.
Highlights of the MFDA’s 2017 Annual Enforcement Report include:
- 121 proceedings commenced and 133 proceedings concluded in 2017 which are both the highest number of proceedings commenced and concluded by the MFDA in any year to date.
- Concluded hearings resulted in 22 permanent prohibitions and 48 suspensions against Approved Persons and total fines of $8,498,250 and $536,500 in costs against Members and Approved Persons.
- The completion of the first proceeding against a dealer by any Canadian securities regulator addressing sales incentives, marketing and educational practices under National Instrument 81-105.
The 2017 Annual Enforcement Report is now available on the MFDA’s website at www.mfda.ca.
The MFDA is the self-regulatory organization for Canadian mutual fund dealers, regulating the operations, standards of practice and business conduct of its Members and their approximately 82,000 Approved Persons with a mandate to protect investors and the public interest. For more information about the MFDA’s complaint and enforcement processes, as well as links to ‘Check an Advisor’ and other Investor Tools, visit the For Investors page on the MFDA website.