An Ontario financial advisor has been permanently banned and fined $30,000 by an Mutual Fund Dealers Association of Canada (MFDA) Hearing Panel after it ruled the advisor engaged in outside business activity contrary to MFDA rules.
In a statement, the panel said Dean Martin Jenkins recommended, sold or aided in the sale of syndicated mortgages of more than $1 million to 11 clients and five other investors, which is outside the business of the MFDA and contrary to MFDA rules. He was also found to have used 70 pre-signed account forms for 45 clients.
In a twist to the story, as the MFDA panel was considering the case in November 2020 it was brought to its attention that Investment Industry Regulatory Organization of Canada (IIROC) had started a proceeding against Jenkins for alleged misconduct similar to some of the charges the MFDA had made against him.
Advisor had switched from IIROC to MFDA
It turned out that Jenkins had been registered in Ontario with an IIROC dealer from 2009 to February 2016 but then switched to the MFDA from February 2016 until March 31, 2018. An IIROC hearing panel was dealing with issues similar to the ones the MFDA panel was considering against Jenkins, but decided to wait to see what happened with the MFDA hearing to determine any sanctions of its own.
The MFDA panel, however, decided it should not take into consideration the IIROC proceeding.
In the end, the MFDA panel permanently banned Jenkins from conducting securities-related business in any capacity while working for any MFDA member, fined $30,000 as well as costs of $2,500.
