Advisors at firm fined combined $39,000
A veteran advisor with 33 years’ experience has been fined $22,500 after altering 124 account forms in respect of 66 clients without having them initial the changes.
In addition, Perry Richard Graham, a mutual rep registered with FundEx Investments, also used 49 pre-signed account forms in respect of 30 clients.
According to the MFDA, both sets of violations took place between February 2012 and March 2018.
The settlement hearing report stated: “The respondent made alterations to information on these account forms including the plan type, account numbers, plan numbers, service fee amounts, investment knowledge, net worth, risk tolerance, investment time horizon, intended use of investment information, investment objective, employment information, date of a client signature and a client’s name.”
Graham must also pay costs of $2,500.
Meanwhile, another FundEx Investments employee has been penalized, also for numerous form violations.
Shawn Thomas Culliton has been fined $16,500 after admitting using 112 pre-signed account forms in respect of 31 clients, and altering five account forms in respect of five clients without having them initial the alterations.
The pre-signed account forms consisted of: 53 client correspondence forms; 19 letters of direction; 12 order entry forms; 12 systematic instruction forms; eight transfer authorization for registered investments forms; three new client account forms; three deregistration/withdrawal request forms; one outside business activity disclosure form; and one investment account application form.
Culliton has 25 years’ experience in the industry and has been registered in Ontario since 1999. At all times of the violations, he conducted business in the Waterloo, Ontario area.
Culliton must also pay costs of $2,500.