A hearing panel of the Investment Industry Regulatory Organization of Canada (IIROC) has accepted a settlement agreement between IIROC staff and Michael Comeau,

The Investment Dealers Association of Canada formally initiated the investigation into the Comeau’s conduct on Jan. 23, 2006.

Comeau admitted that from December 2004 to March 2005, as a registered representative at the Toronto branch of Secutor Capital Management Corp, he placed himself in a conflict of interest when he became a registered shareholder of securities, of an issuer, transferred to him by his client for no apparent consideration and then sold securities of the same issuer held by the same client to several of his other clients.

The hearing panel imposed the following penalty against Comeau:

• a fine in the amount of $15,000, an amount equal to three times the profit made by Comeau by selling the shares; and

• close supervision for a period of 12 months; and

• costs in the amount of $2000.

Comeau is currently a registrant working at All Group Financial Services, an IIROC-regulated firm.

The hearing panel issued its decision and reasons on August 18.

IIROC website

http://www.iiroc.ca