The Investment Dealers Association of Canada has fined Stuart Smith, formerly a managing director and head trader in the equity capital department of CIBC World Markets Inc., $25,000 for the improper purchase and transfer of securities.

At a July 17 hearing, Smith admitted that between January 2002 and April 2002, he failed to observe high standards of ethics and conduct in the transaction of his business by purchasing and/or transferring security positions to an average price account, contrary to the purpose of the account.

He also admitted to misrepresenting the nature of the transactions to CIBC World Markets.

In addition to the fine, the IDA panel ruled that Smith not be permitted to handle retail client accounts and that his business activities be restricted to trading in proprietary accounts.

The IDA also ordered Smith to pay %7,500 in costs in the amount of $7,500.

For a complete summary of facts, please see IDA Bulletin 3187 at www.ida.ca.