MFDA fines, permanently bans rep for borrowing money from client

An MFDA hearing panel has fined and permanently banned a dealing representative for borrowing money from a client, misleading a member and failing to cooperate with an investigation.

Jeremy William Travis was registered in Ontario and was working as a dealing representative in Owen Sound with Sun Life Financial Investment Services and Hub Capital at the time of his misconduct, the reasons for decision said. He was fined $50,000.

The panel found that in December 2010, Travis borrowed $10,000 from a client and used the client’s credit card to pay for $2,200 in airline tickets. These personal financial dealings resulted in a conflict or potential conflict of interest that Travis failed to disclose, contrary to MFDA Rules 2.1.1 and 2.1.4, an MFDA release said.

The panel also found that, in March and November 2015, Travis denied that he had borrowed money from a client, thereby interfering with his employer’s ability to supervise his activities and “engaging in conduct that is unbecoming and detrimental to the public interest, contrary to MFDA Rules 1.1.2, 2.5.1 and 2.1.1.”

Beginning in July 2016, Travis failed to cooperate with an investigation by MFDA’s staff, the panel said.

In addition to the fine, Travis has been ordered pay costs in the amount of $5,000 and has been permanently prohibited from conducting securities related business in any capacity.

The reasons for decision can be read here.

Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.