The New Self-Regulatory Organization of Canada (New SRO) has banned former dealing representative, Jingshan (Sarah) He after He admitted she invested in a Burnaby, British Columbia daycare business, along with two clients of the firm where she worked. “The respondent did not service the member accounts of clients A and B,” the settlement agreement states.
Registered from July 2017 until November 2019 when she was terminated by CIBC Securities Inc., He is not currently registered in the industry in any capacity.
According to the settlement agreement, He held 51 per cent of the shares in the daycare business, having invested at least $87,175, while clients A and B held a 29 per cent and 10 per cent shareholder interest in the business, having invested at least $50,561 and $17,435 each, respectively.
He did not obtain approval from CIBC to establish the business, to incorporate the numbered company, to serve as director of the numbered company, or to accept money from CIBC’s clients. In January 2019, she then completed an annual attestation stating she had sought and obtained approval for all outside activities. “The respondent’s statement to the member was false,” the settlement agreement continues. “The respondent states that at the time when she made the annual attestation, she did not understand that she was required to obtain approval.”
In addition to a $20,000 fine and costs in the amount of $5,000 which He was ordered to pay, she is also prohibited from conducting securities related business in any capacity while employed with any New SRO member firm for a period of two years.
