In a recent order made by the Insurance Council of British Columbia, Shahzad Murtaza Gurmani has been fined $2,000 and has been assessed investigation costs of $1,062.50 after the insurance council discovered Gurmani’s undisclosed history of being sanctioned by the Registered Insurance Brokers of Ontario (RIBO).
According to the regulator’s intended decision, Gurmani signed an application for a license indicating that he had not been previously licensed, registered with or sanctioned by a financial services regulator when he applied for a license in British Columbia. He also failed to notify the council that he had been disciplined in November 2019 by RIBO.
Gurmani held a level 1 adjuster license between August 2018 and August 2020 when his license was terminated for non-filing. Prior to being licensed with the council, he was a registered insurance broker in Ontario before resigning that registration in April 2018 and moving to Yellowknife. His history with RIBO was discovered as part of a standard review of disciplinary decisions made by other regulatory bodies.
Upon moving to Yellowknife and applying to work as an adjuster, the firm he secured employment with requested that Gurmani apply to be licensed in as many Canadian jurisdictions as possible, so he applied to be licensed in British Columbia and Alberta. He did not tell the adjusting firm about the RIBO investigation. (When the firm learned about the council’s investigation he was terminated immediately.)
“The former licensee explained he moved to Yellowknife because he had a family member who lived there. He said he was trying to get away from the issues in Ontario, but somehow they found him anyway,” the intended decision states. “He advised that he did not notify council of RIBO’s discipline decision because he did not think RIBO’s decision would matter to council.” The council’s rules require licensees to notify the regulator within five business days when they have been disciplined by any regulator or occupational body.
“At least at the time of his meeting with the committee, the former licensee had still not paid the fine he owes in Ontario, which was due on May 20, 2020. Council is troubled that the former licensee appears to be waiting to see what the penalty will be in each province so he can decide which penalty to pay before re-applying for licensure. In council’s view, there is no indication that the former licensee intends to take responsibility for his conduct in Ontario, which reflects poorly on his overall trustworthiness,” the insurance council states in its intended decision. (Gurmani reportedly tried to inappropriately expedite the placement of some policies while working in Ontario in time to get commissions for the month.)
In addition to the fine and investigation costs, Gurmani is required to complete the Insurance Institute’s Ethics and the Insurance Professional course, or equivalent, and is required to complete the Council Rules Course currently being offered through the Insurance Brokers Association of British Columbia prior to being licensed in the future.