A settlement hearing in the matter of John Moro was held today before a hearing panel of the Central Regional Council of the Mutual Fund Dealers Association of Canada (MFDA).

Between April 2, 1998 and Dec. 27, 2006, Moro was registered as a mutual fund salesperson with JDM Financial Ltd. He was also JDM Financial’s president and sole owner and was, at all material times, JDM Financial’s compliance officer and only approved person.

The hearing panel today approved the settlement agreement between the MFDA and Moro. In the settlement, Moro admitted that he obtained and possessed pre-signed client forms and used the forms to execute 16 trades.

Moro also admitted that, to the extent that he completed sections of the pre-signed forms in relation to the 16 trades, he engaged in discretionary trading. He also admitted that, by failing to document client instructions in respect of the 16 trades he failed to record and maintain an adequate record of each order, and of any other instruction, given or received for the sale of securities.

On Feb. 1, 2007, Moro became, and continues to be, registered as a mutual fund salesperson and branch manager with IPC Investment Corp., a member of the MFDA.

The hearing panel ordered Moro to surrender his registration as branch manager within five business days of today, and be prohibited from acting in a supervisory capacity with a member of the MFDA for a period of two years from today.

The panel ordered him to pay a $5,000 fine, and $2,500 in costs.

It also ordered Moro to rewrite the appropriate proficiency examination prior to becoming re-registered in any supervisory capacity with a member of the MFDA.

The hearing panel advised that it would issue written reasons in due course.