Sanctioned for accepting a $750,000 gift from a clientBy The IJ Staff | March 01 2017 10:45AM
A Hearing Panel of the Investment Industry Regulatory Organization of Canada (IIROC) has accepted a settlement agreement with Brian McCullough that includes sanctions, announced the regulator Feb. 27.
McCullough admitted to accepting a $750,000 gift from a client without the knowledge and consent of his Dealer Member firm. He did not report to them he had been served with a Notice of Civil Claim relating to his dealings with the client. Both of these violations were contrary to Dealer Member Rule 29.1.
Suspended for five years
McCullough has been fined $80,000 and is suspended from any registration with the IIROC for five years, and will pay $5,000 in costs.
The violations happened while McCullough was at the Powell River office of DWM Securities Inc. from February to November 2013 and at the Powell River office of Scotia Capital Inc. from November 2013 to July 2015.