TORONTO, Jan. 6, 2020 /CNW/ - A settlement hearing in the matter of Kindle Briten Megan Blythe ("Respondent") was held on January 6, 2020 in Vancouver, British Columbia before a three-member Hearing Panel of the Pacific Regional Council of the Mutual Fund Dealers Association of Canada ("MFDA").
The Hearing Panel approved the settlement agreement dated January 2, 2020 ("Settlement Agreement") between Staff of the MFDA and the Respondent, as a consequence of which the following sanctions were imposed on the Respondent:
In the Settlement Agreement, the Respondent admitted that:
between April 8, 2015 and June 9, 2015, she submitted 3 Know-Your-Client ("KYC") Update Forms to the Member to update account records of client X without exercising due diligence to ensure that client X was aware of and had authorized the changes to her KYC information, contrary to the policies and procedures of the Member and MFDA Rules 2.2.1, 2.5.1, 2.10, and 1.1.2;
between January 2015 and June 2016, she facilitated the processing of approximately 180 trades in the investment accounts of client X without exercising due diligence to ensure that client X had authorized all elements of the trades that were processed in client X's account, contrary to the policies and procedures of the Member and MFDA Rules 2.3.1(a) [now MFDA Rule 2.3.1(b)1], 2.10 and 1.1.2; and
between January 2015 and June 2016, she created records of purported instructions received from client X which had not in fact been received and failed to exercise due diligence to ensure that the records of instructions that she created accurately described instructions that had been received from client X, contrary to the policies and procedures of the Member and MFDA Rules 5.1(b), 2.10, 2.5.1 and 1.1.2.
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 carried on business in the Vancouver, British Columbia 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 81,000 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.
SOURCE Mutual Fund Dealers Association of Canada
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