The Investment Industry Regulatory Organization of Canada has fined a former Calgary rep $35,000 for unauthorized trading and other violations.
On May 1, an IIROC hearing panel accepted a settlement agreement between IIROC staff and Daniel Cuthbertson.
Cuthbertson admitted that in 2008, when he was a registered representative with the Calgary branch of J.F. Mackie and Company Ltd., he parked shares, traded off-marketplace without approval and engaged in unauthorized trading
Specifically, Cuthbertson admitted: he executed seven unauthorized trades; he parked stocks purchased for a retail client in the firm’s average price account and institutional accounts, and then misrepresented the true nature of those stock positions to his firm’s chief compliance officer; and he executed an off-marketplace trade without approval from Regulation Services, and above the market price.
Cuthbertson agreed to pay a $35,000 fine, be suspended from registration in any capacity with IIROC for 18 months, successfully complete the Conduct and Practices Handbook examination; and upon re-approval in any registered capacity with IIROC, a six-month period of close supervision. He also agreed to pay $5,000 in costs.
IIROC formally initiated the investigation into his conduct in April 2009. He is no longer a registrant with an IIROC-regulated firm.