Advisor.ca seeks John Fabello's Opinion on IIROC Disciplinary Decision

September 25, 2017

John Fabello has spoken with advisor.ca about a penalty handed down by the Investment Industry Regulatory Organization of Canada (IIROC).

The decision was regarding a former registered investment representative who altered his Partners, Directors and Seniors Officers (PDO) exam transcripts to show he passed with 77.5% after realizing he finished only part of the PDO course.

He was imposed with the followed sanctions:

  • a six-month suspension from registration;
  • a fine of $30,000;
  • a requirement to re-write industry exams within 12 months of re-registration; and
  • costs of $5,000.

Although John was not involved in the case, advisor.ca sought his opinion on the decision, and questioned whether it was excessive.

While the IIROC typically insists on a suspension and a fine, John said you didn’t need both to achieve [IIROC’s] goals of specific and general deterrence.

John notes the former registered investment representative has no prior disciplinary record, was under some personal stress, and the there was no client harm in his actions.

“The fact pattern suggests it was a one-off,” he said.

You can read all of John’s comments on the decision by reading the full article on advisor.ca.

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