OSC denies registration of former boiler room broker

Curia was employed as a salesperson at A.C. MacPherson and Co. Inc. from 1994 to 1999. MacPherson was an investment dealer whose registration was terminated by the commission on April 6, 2000, with the firm settling accusations that it was essentially a boiler room brokerage.

Curia was suspended on January 5, 2000, when he resigned from MacPherson. On January 17, he applied to re-register as an employee of Royal Bank Action Direct Inc. Staff of the OSC’s registration branch opposed his reinstatement and a hearing was convened before the director, in this case Randee Pavalow, on September 27.

At the hearing, Curia represented himself and Kathryn Daniels appeared for the commission. Pavalow found that Curia “not only knew how the business was being conducted [at MacPherson], but was aware that the practice of high mark-ups was a characteristic of the business model used by his employer.”

She pronounced, “Involvement in such activity is contrary to the duty a registrant owes to its client. Mr. Curia may have felt he was being honest with his clients, he was not acting fairly or in good faith by participating in the exercise of excessive mark-ups as practiced by MacPherson. As a result, his application for registration is denied.”

The OSC has previously denied re-registration to former boiler room employees, although it has not blocked them from reapplying. In this case, Curia requested some guidance as to when would be an appropriate time for him to reapply.

Pavalow suggested he retake the Conduct and Practices Course. She also suggests that he go without registration for longer than the nine months he has, “it is my view that such a period of reflection and reeducation would be beneficial in light of all of the circumstances including the seriousness of the misconduct in question.”