A hearing panel of the Investment Dealers Association of Canada in Toronto has fined IPC Securities Corp. $100,000 for several by-law violations.

Following a disciplinary hearing on July 27, IPC Securities Corp. admitted that:

  • Between Dec. 31, 2001 and May 31, 2002 inclusive, it failed to maintain adequate records of supervisory activity in accordance with IDA requirements concerning head office account supervision.
  • Between June 2003 and Jan. 30, 2004, it failed to establish, maintain, and/or enforce written policies and procedures to supervise principal trading done on its behalf.
  • Between Jan. 30, 2004 and Feb. 13, 2004, it failed to maintain its risk adjusted capital at a greater level than zero.

In its oral reasons for decision, the hearing panel emphasized the importance of there being an ongoing understanding of the weight of the responsibility of a member of the IDA to fully and completely conform to IDA by-laws, regulations, and policies.

For a complete summary of facts, please see IDA Bulletin 3451 and the accompanying settlement agreement.