The Ontario District Council of the Investment Dealers Association of Canada has imposed penalties on three individuals.

It has permanently prohibited Joseph C. Stauffer from registration approval and fined him $50,000 for failing to cooperate with an ongoing investigation. At the relevant times, Stauffer was a registered representative with RBC Dominion Securities Inc.

A Sept. 30, 2002 hearing was adjourned until November 1, 2002 to allow Stauffer to demonstrate his intention to cooperate with the IDA investigation, but documents requested by IDA staff were not produced and Stauffer did not attend a scheduled interview.

Discipline penalties have also been imposed on Anthony Addolorato Colalillo, at the relevant time a registered representative with the Mississauga branch office of the former Nesbitt Burns Inc., now BMO Nesbitt Burns.

On Nov. 5, 2002, the Council accepted a settlement agreement in which Colalillo admitted that he made recommendations for client accounts that were inappropriate and not in keeping with the clients’ investment objectives. Furthermore, Colalillo failed to exercise due diligence in the solicitation and transfer of securities between the accounts of unrelated clients, resulting in monetary loss to a client.

Colalillo is fined $20,000, to be paid within 30 days, and is required to pay $5,000 for investigation costs. If Colalillo seeks re- approval, he must re-write and pass the Canadian Securities Course and the Conduct and Practices Handbook exam, and file monthly supervision reports for 12 months. Colalillo has not been employed in any capacity with an IDA member firm since August 1997.

Penalties have been imposed on Graeme Hamilton, at the relevant times a registered representative with Burns Fry Ltd., now BMO Nesbitt Burns Inc.

On Nov. 1, 2002, the Council accepted a settlement agreement in which Hamilton admitted that he exercised discretion in clients’ accounts without the clients having given written authorization and the accounts being accepted as discretionary by the member firm. He also admitted to giving clients false and inaccurate information regarding their accounts’ market value. Hamilton is fined $20,000 and is also required to pay $6,400 for investigation costs.