Worldsource Financial Management fined $150,000 by MFDA
A Mutual Fund Dealers Association of Canada (MFDA) panel accepted a settlement agreement with Worldsource Financial Management Inc. on June 28. Sanctions of $150,000 and the payment of $20,000 in costs were imposed on Worldsource.
In the settlement agreement, the company admitted that after receiving a written report dated Nov. 28, 2011 regarding misconduct by Conrad Eagan, it “failed to conduct a reasonable supervisory investigation concerning the allegations of misconduct or take such supervisory and disciplinary action as may have been warranted by the results of such an investigation.”
In addition, after receiving a written report about Eagan’s alleged misconduct, which included having conducted “unauthorized business activities involving will preparation, accepting powers of attorney and appointments as estate trustee for clients, processing unauthorized trades and account transfers, and engaging in unauthorized complaint handling,” the company failed to inform the MFDA of the allegations.