TORONTO, Nov. 26, 2021 /CNW/ - The Mutual Fund Dealers Association of Canada (the "MFDA") announced that it has issued a Notice of Settlement Hearing dated November 19, 2021, regarding the presentation, review and consideration of a proposed settlement agreement by a Hearing Panel of the MFDA's Central Regional Council.
The settlement agreement will be between Staff of the MFDA and Progressive Financial Strategy Capital Group Corp. (the "Respondent") and involves matters for which the Respondent may be disciplined by a Hearing Panel pursuant to MFDA By-laws. The proposed settlement agreement concerns allegations that the Respondent:
- without notifying the MFDA and receiving prior written approval, engaged in transactions that would have or would reasonably expected to have the effect of causing the Respondent's risk adjusted capital ("RAC") to fall to a level below zero;
- failed to maintain the required minimum capital and its RAC at a level above zero; and
- failed to immediately notify the MFDA when its RAC had fallen to a level below zero, contrary to MFDA Rules 3.1.1, 3.1.2, 3.4.2(c), and 2.1.1.
The settlement hearing will take place electronically by videoconference on December 9, 2021, commencing at 10:00 a.m. (Eastern), or as soon thereafter as the matter can be held. Members of the public who would like to obtain particulars should contact firstname.lastname@example.org.
MFDA settlement hearings are typically held in the absence of the public pursuant to section 20.5 of MFDA By-law No. 1 and Rule 15.2(2) of the MFDA Rules of Procedure. If the Hearing Panel accepts the settlement agreement, then the proceeding will become open to the public and a copy of the decision of the Hearing Panel and the settlement agreement will be made available at www.mfda.ca.
The MFDA is the self-regulatory organization for Canadian mutual fund dealers, regulating the operations, standards of practice and business conduct of its Members and their approximately 80,000 Approved Persons with a mandate to protect investors and the public interest. For more information about the MFDA's complaint and enforcement processes, as well as links to 'Check an Advisor' and other Investor Tools, visit the For Investors page on the MFDA website.
SOURCE Mutual Fund Dealers Association of Canada