April 26, 2018 (Toronto, Ontario) – The Mutual Fund Dealers Association of Canada (“MFDA”) has commenced disciplinary proceedings in respect of Daniel Phillipus Botha (“Respondent”). In its Notice of Hearing dated March 23, 2018, Staff of the MFDA alleges that the Respondent engaged in the following conduct contrary to the By-laws, Rules and/or Policies of the MFDA:
Allegation #1: between March 2014 and March 2015, the Respondent falsified and used to process transactions, four account forms in respect of two clients by altering information on the account forms without having the clients initial the alterations, contrary to MFDA Rule 2.1.1.
Allegation #2: between January 2011 and January 2016, the Respondent obtained, possessed, and in some instances, used to process transactions, 40 pre-signed account forms in respect of 26 clients, contrary to MFDA Rule 2.1.1; and
Allegation #3: between March 2014 and August 2015, the Respondent:
- on eight occasions, submitted client Limited Trading Authorization forms to the Member for processing on which he falsely indicated that he had witnessed clients signatures; and
- on four occasions, submitted client Limited Trading Authorization forms to the Member for processing that did not meet the Member’s signature verification requirements,
contrary to the Member’s policies and procedures, and MFDA Rules 2.5.1, 1.1.2, and 2.1.1.
The first appearance in this proceeding will take place by teleconference before a Hearing Panel of the MFDA’s Prairie Regional Council on June 5, 2018 at 10:00 a.m. (Mountain), or as soon thereafter as the appearance can be held, to schedule a date for the commencement of the hearing on the merits and to address any other procedural matters. The appearance will be open to the public, except as may be required for the protection of confidential matters. The Hearing on the Merits will take place in Calgary, Alberta at a time and venue to be announced.
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.