A registered representative must pay the Investment Industry Regulatory Organization of Canada (IIROC) a global fine of $150,000 for failing to use due diligence and making unsuitable and unauthorized trades. The fine includes a disgorgement of $137,000 in commissions.
An IIROC panel levied the penalty after finding that Ravindra Suppal, at the time an advisor and branch manager with the Winnipeg branch of First Financial Securities Inc., failed in his “know your client” obligation between June 2005 and April 2010 regarding an account held by the Chemawawin First Nation Development Trust. (See Investment Executive, Winnipeg rep failed to meet KYC, suitability requirements, July 12, 2013.)
In addition to the fine, Suppal is suspended from IIROC registration for one year, must re-write the Conduct and Practices exam and must be closely supervised upon becoming registered and returning to the industry. During that three-year period, Suppal may not work as a branch manager or compliance manager with a member firm. Suppal must also pay $20,000 in costs.
Suppal is currently a registered rep and supervisor with Portfolio Strategies Securities Inc.