A hearing panel of the Investment Industry Regulatory Organization of Canada (IIROC) accepted a settlement agreement between IIROC staff and BMO Nesbitt Burns Inc.

The investment dealer admitted that In September 2007 it failed to maintain risk adjusted capital (RAC) l at a level greater than zero and was RAC deficient in the sum of $207 million.

The hearing panel imposed a fine in the amount of $50,000, and ordered BMO Nesbitt Burns to pay costs in the amount of $2,000.

IIROC formally initiated the investigation into the the firm’s conduct on Nov. 3, 2008.

The hearing panel issued its reasons and decision orally on May 22.

IE