Amid allegations of providing advice to clients in violation of registration as an order-execution-only (OEO) dealer, London, U.K.–based Fortrade Canada Ltd. has been ordered by a regulatory hearing panel to rein in its dealings with clients.

A hearing panel of the Investment Industry Regulatory Organization of Canada (IIROC) granted a temporary order against Fortrade Canada, imposing certain terms and conditions on the firm.

Among other things, the order requires the firm to refrain from providing advice to clients, stop taking new clients, and provide audio recordings of certain calls with clients.

The panel’s reasons for imposing the order have not been released.

The application from IIROC staff seeking the order alleged that the firm, which provides online trading in contracts for difference and is registered as an OEO dealer, violated the requirement that OEO dealers not make recommendations to clients.

“Fortrade has engaged in making recommendations to its clients, which conduct may be continuing,” the application said. “There is prima facie evidence, in the form of audio recordings of calls and emails between Fortrade agents and clients, supporting the allegation that Fortrade has contravened IIROC requirements.”

According to the application, IIROC staff sought the temporary order to protect investors, alleging “Fortrade’s conduct poses a serious risk of harm to clients, the investing public, and the integrity and reputation of the securities industry.”

The allegations have not been proven.

The temporary order remains in effect until a further order from the panel, or a merits hearing has been concluded.