Investment watchdog imposes $1.8M in fines in 2019, nearly double 2018 levels

TORONTO – A total of $1.8 million in sanctions was levied against Canadian investment firms by a national industry watchdog last year, about double what it imposed in 2018.

In total, there were 28 individuals prosecuted and eight member firms of the Investment Industry Regulatory Association of Canada.

The 2019 sanctions against firms were primarily fines and costs, while sanctions against individuals also included disgorged, or ill-gotten, gains.

IIROC also imposed nearly $2 million in sanctions against individuals, including $1.6 million in fines and $135,071 in disgorgements.

That was down from $3.2 million in total sanctions against individuals in 2018, including $2.8 million in fines and $133,712 in disgorgements.

About one-quarter of the cases reviewed by IIROC last year and nearly one-third of all prosecutions involved seniors and vulnerable investors.

IIROC senior vice-president Elsa Renzella says it is seeking more legal disciplinary authorities from Canada’s provincial and territorial securities regulators.

This report by The Canadian Press was first published May 11, 2020.