MFDA rep fined $75,000 and permanently banned

An MFDA hearing panel has fined and permanently banned previously registered rep Cuiqin Ammy Yang for altering account forms and submitting them directly to fund companies for processing.

Specifically, the panel found that Yang, who was registered in Ontario as a mutual fund salesperson with Peak Investment Services, altered two account forms without evidence of client consent, and submitted the altered forms directly to the fund company to process trades, contrary to the policies and procedures of the dealer member and MFDA Rules 2.1.1, 2.10 and 1.1.2.

The panel also found that, over a period of about two months, she submitted 18 account forms directly to fund companies to process trades in the accounts of clients without the knowledge or approval of the dealer member, contrary to its policies and procedures, and MFDA Rules 1.1.1(a), 2.1.1, 2.10 and 1.1.2.

Further, Yang failed to cooperate with an investigation into her activities conducted by MFDA staff, contrary to section 22.1 of MFDA By-law No. 1.

In its reasons for decision, dated Apr. 16, 2018, the hearing panel confirmed the following imposed sanctions:

• a permanent ban from conducting securities-related business in any capacity while in the employ of or associated with any MFDA member;
• a fine of $75,000; and
• costs of $10,000.

Read the full reasons for decision.

Staff

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