INVESTMENT DEALERS ASSOCIATION OF CANADA

Transcription

1 INVESTMENT DEALERS ASSOCIATION OF CANADA IN THE MATTER OF: THE BY-LAWS OF THE INVESTMENT DEALERS ASSOCIATION OF CANADA AND PAMELA ANN BREYER NOTICE OF HEARING TAKE NOTICE that pursuant to Part 10 of By-law 20 of the Investment Dealers Association of Canada ( the Association ), a hearing will be held before a hearing panel ( the Hearing Panel ) on Tuesday September 18, 2007, at the Calgary TELUS Convention Centre, th Avenue SE, in Exhibition Hall B2, Calgary, Alberta, at 10:00 am, or as soon thereafter as the hearing can be heard. TAKE FURTHER NOTICE that pursuant to Rule 6.2 of the Association Rules of Practice and Procedure, that the hearing shall be designated on the: The Standard Track The Complex Track THE PURPOSE OF THE HEARING is to determine whether Pamela Ann Breyer ( the Respondent ) has committed the following contraventions that are alleged by the Association: Count 1: During November 2004 to March 2005, the Respondent signed the signatures of three other CIBC World Markets registrants on various client account documentation, thereby engaging in conduct unbecoming or detrimental to the public interest, contrary to Association By law 29.1.

2 - 2 - PARTICULARS TAKE FURTHER NOTICE that the following is a summary of the facts alleged and to be relied upon by the Association at the hearing: Registration history: 1. The Respondent was a registrant with the Association from February 13, 1996 to April 28, She was registered as an Investment Representative ( IR ) with CIBC World Markets Inc. ( CIBC ) from February 13, 1996 to October 30, She was registered as an IR at Scotia Capital Inc. from November 23, 2000 to July 25, She was again registered as an IR with CIBC from September 8, 2003 until April 28, The Respondent has not been registered with the Association since April 28, Commencement of investigation: 3. The investigation commenced as a result of a Notice of Termination and a Comset Event Report filed by CIBC in late April, The Comset Report indicated allegations of falsification/forgery of documents. Signatures of other CIBC registrants: 4. At all material times the Respondent worked at the Water Mark Tower branch of CIBC in Calgary. She primarily performed administrative duties as a sales assistant to Tony Johnson, a Registered Representative. Sharlene MacRae was the assistant branch manager and was the branch manager. 5. Mr. Mutch, Mr. Johnson and Ms. MacRae have advised the Association that various signatures on CIBC client documentation are not in fact their true signatures. 6. The Respondent was interviewed by the Association on January 9, In her interview, the Respondent admitted to the Association that during the time period of November 2004 to March 2005, she had signed the following signatures of Mr. Mutch, Mr. Johnson and Ms. MacRae on the following CIBC client documentation: Client Name 1 AM Type of Document Signature and Date (February 14, 2005)

3 - 3-2 DA 3 MP 4 LE 5 ET 6 JW/TW KYC 7 7a PP KYC 8 PB KYC 9 DB/BB 10 SSFI Client Agreement KYC and Client Agreement 11 EM/EO KYC 12 JS/PS KYC 13 RCFC KYC 14 I Inc. KYC 15 LP 16 SH 17 JH 18 LA Client Agreement (January 10, 2005) (January 10, 2005) (December 14, 2004) (February 14, 2005) and (2 signatures each) (December 2, 2004) (March 14, 2005) (2 signatures) (December 14 and 24, 2004) and (November 23, 2004 and January 5, 2005) (January 31, 2005) (February 21, 2005) (January 14, 2005) (March 8, 2005)

4 PB KYC (March 14, 2005) 20 KB 21 MP (February 21, 2005) ( January 15, 2005 ) 7. When discussing the circumstances of the signatures and the timing of same, the Respondent told the Association in her interview that she was getting ready to leave her position and could not manage the work. She said that she had tried to do an internal transfer and it had not occurred. She told the Association that she started to look elsewhere for other opportunities. She felt that she could not leave her position as long as there was paperwork outstanding. 8. The Respondent has no previous disciplinary history. GENERAL PROCEDURAL MATTERS TAKE FURTHER NOTICE that the hearing and related proceedings shall be subject to the Association s Rules of Practice and Procedure. TAKE FURTHER NOTICE that pursuant to Rule 13.1, the Respondent is entitled to attend and be heard, be represented by counsel or an agent, call, examine and cross-examine witnesses, and make submissions to the Hearing Panel at the hearing. RESPONSE TO NOTICE OF HEARING TAKE FURTHER NOTICE that the Respondent must serve upon the Association a Response to the Notice of Hearing in accordance with Rule 7 within twenty (20) days (for a Standard Track disciplinary proceeding) or within thirty (30) days (for a Complex Track disciplinary proceeding) from the effective date of service of the Notice of Hearing.

5 - 5 - FAILURE TO RESPOND OR ATTEND HEARING TAKE FURTHER NOTICE that if the Respondent fails to serve a Response or attend the hearing, the Hearing Panel may, pursuant to Rules 7.2 and 13.5: (a) proceed with the hearing as set out in the Notice of Hearing, without further notice to the Respondent; (b) accept as proven the facts and contraventions alleged by the Association in the Notice of Hearing; and (c) order penalties and costs against the Respondent pursuant to By-law 20.33, and PENALTIES & COSTS TAKE FURTHER NOTICE that if the Hearing Panel concludes that the Respondent did commit any or all of the contraventions alleged by the Association in the Notice of Hearing, the Hearing Panel may, pursuant to By-law and By-law 20.34, impose any one or more of the following penalties: Where the Respondent is/was an Approved Person: (a) (b) a reprimand; a fine not exceeding the greater of: (i) $1,000,000 per contravention; and (ii) an amount equal to three times the profit made or loss avoided by such Approved Person by reason of the contravention. (c) (d) (e) (f) (g) suspension of approval for any period of time and upon any conditions or terms; terms and conditions of continued approval; prohibition of approval in any capacity for any period of time; termination of the rights and privileges of approval; revocation of approval;

6 - 6 - (h) (i) a permanent bar from approval with the Association; or any other fit remedy or penalty. Where the Respondent is/was a Member firm: (a) (b) a reprimand; a fine not exceeding the greater of: (i) $5,000,000 per contravention; and (ii) an amount equal to three times the profit made or loss avoided by the Member by reason of the contravention; (c) (d) (e) (f) (g) suspension of the rights and privileges of the Member (and such suspension may include a direction to the Member to cease dealing with the public) for any period of time and upon any conditions or terms; terms and conditions of continued Membership; termination of the rights and privileges of Membership; expulsion of the Member from membership in the Association; or any other fit remedy or penalty. TAKE FURTHER NOTICE that if the Hearing Panel concludes that the Respondent did commit any or all of the contraventions alleged by the Association in the Notice of Hearing, the Hearing Panel may pursuant to By-law assess and order any investigation and prosecution costs determined to be appropriate and reasonable in the circumstances. DATED at Vancouver, this 30th day of March, Warren Funt Vice President, Western Canada, Member Regulation INVESTMENT DEALERS ASSOCIATION OF CANADA Suite 1325, 650 West Georgia Street Vancouver, BC V6B 4N9