NEWS RELEASE
IIROC
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TORONTO – On Oct. 14, 2016, a Hearing Panel of the Investment Industry Regulatory Organization of Canada (IIROC) accepted a Settlement Agreement, with sanctions, between IIROC staff and Andrew Munro.
Mr. Munro admitted that he failed to use due diligence to learn the essential facts relative to certain of his clients and failed to ensure that recommendations that he made for certain of his clients were suitable for them, contrary to IIROC Dealer Member Rules 1300.1 (a) and (q).
Specifically, Mr. Munro admitted to the following violations:
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(a) From 2005 to 2012, Mr. Munro failed to use due diligence to learn the essential facts relative to two clients, contrary to IIROC Dealer Member Rule 1300.1(a); and
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(b) From 2007 to 2012, Mr. Munro failed to ensure that recommendations that he made for two clients were suitable for them, contrary to IIROC Dealer Member Rule 1300.1 (q).
Pursuant to the Settlement Agreement, Mr. Munro agreed to the following penalties:
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(a) A global fine of $25,000, inclusive of disgorgement; and
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(b) A requirement to successfully re-write the Conduct and Practices Handbook exam within 12 months of the date of the acceptance of the Settlement Agreement.
Mr. Munro also agreed to pay costs in the amount of $5,000.
The Settlement Agreement is available by clicking here. The Hearing Panel’s decision will be made available at www.iiroc.ca.
Documents related to ongoing IIROC enforcement proceedings – including Reasons and Decisions of Hearing Panels – are posted on the IIROC website as they become available. Click here to search and access all IIROC enforcement documents.
IIROC formally initiated the investigation into Mr. Munro’s conduct in October 2012. The conduct occurred while he was a Registered Representative with the Barrie, Ontario branch of Edward Jones, an IIROC-regulated firm. Mr. Munro is currently working in the same capacity at the same firm.
About IIROC
IIROC is the national self-regulatory organization which oversees all investment dealers and their trading activity in Canada’s debt and equity markets. IIROC sets high quality regulatory and investment industry standards, protects investors and strengthens market integrity while supporting healthy Canadian capital markets.
IIROC carries out its regulatory responsibilities through setting and enforcing rules regarding the proficiency, business and financial conduct of dealer firms and their registered employees and through setting and enforcing market integrity rules regarding trading activity on Canadian equity marketplaces.
IIROC investigates possible misconduct by its member firms and/or individual registrants. It can bring disciplinary proceedings which may result in penalties including fines, suspensions, permanent bars, expulsion from membership, or termination of rights and privileges for individuals and firms.
All information about disciplinary proceedings relating to current and former member firms is available in the Enforcement section of the IIROC website.
Background information regarding the qualifications and disciplinary history, if any, of advisors currently employed by IIROC- regulated firms is available free of charge through the IIROC AdvisorReport service. Information on how to make investment dealer, advisor or marketplace-related complaints is available by calling 1 877 442-4322.
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