September 28, 2022 (Toronto, Ontario) – A settlement hearing in the matter of MD Sabab Alam (the “Respondent”) was held electronically by videoconference on September 27, 2022 in Calgary, Alberta before a three-member Hearing Panel of the Prairie Regional Council of the Mutual Fund Dealers Association of Canada (“MFDA”).
The Hearing Panel accepted the settlement agreement dated August 10, 2022 (the “Settlement Agreement”), between Staff of the MFDA and the Respondent as a consequence of which the following sanctions were imposed on the Respondent:
- a fine in the amount of $9,000 (“Fine”);
- costs in the amount of $5,000 (“Costs”);
- payment of the Fine and Costs shall be made in instalments as follows:
- $3,500 (Costs) on September 27, 2022;
- $1,500 (Costs) on or before October 31, 2022;
- $2,000 (Fine) on or before October 31, 2022;
- $3,500 (Fine) on or before November 30, 2022;
- $3,500 (Fine) on or before December 30, 2022; and
- shall in the future comply with MFDA Rules 2.1.1, 2.3.1, and 1.1.2 (as it relates to Rule 2.5.1).
In the Settlement Agreement, the Respondent admitted that on or about February 11, 2020, he processed a trade in the account of a client without the client’s authorization, contrary to the Member’s policies and procedures, and MFDA Rules 2.1.1, 2.3.1, and 1.1.2 (as it relates to Rule 2.5.1).
A copy of the Settlement Agreement is available on the MFDA website at www.mfda.ca. During the period described in the Settlement Agreement, the Respondent conducted business in the Calgary, Alberta area.
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 76,695 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.