compliance-regulation-legislation

IIROC wants clearer authority to collect fines across the country.

“We typically collect 100% of fines and other penalties levied against firms across the country, but collecting from individuals is much more challenging,” says IIROC president and CEO Andrew Kriegler in the regulator’s 2014-2015 Annual Report.

Read: IIROC finalizes guidance aimed to reduce volatility

In that time, IIROC collected just 13.3% of fines it levied against people.

But Kreigler notes that collection rates are higher in Alberta and Quebec, jurisdictions that can certify IIROC decisions and fines in court. In Alberta, the collection rate between 2008 and March 31, 2014 was 35.75%, compared to 17.6% Canada-wide in the same time.

Quebec granted IIROC the ability to get their decisions certified by the courts in June 2013. In 2014, its first full year with the power, IIROC collected 59% of its Quebec personal fines.

Last year, IIROC also began pushing for that power in the provinces without that recourse. “We are talking with securities commissions and governments across the country,” says Kreigler in a statement to Advisor.ca.

In 2014, IIROC also began publishing the names of people with outstanding fines, in an effort to get them to pay up. It also assigned $3,521,000 in fines, but the report doesn’t say how much of that was collected.

Read: OSC appoints former IIROC director as vice chair

During the reporting period, IIROC conducted 146 enforcement investigations and 58 disciplinary hearings. It issued 22 suspensions and 10 permanent bans. IIROC regulates 28,264 people from 187 firms across Canada.

Last year, IIROC published the final set of CRM rules, which will come into force by 2016. It also issued guidance notices on single-stock circuit breakers, order execution and foreign markets.

The regulator also published a set of academic papers about High Frequency Trading and related market activities. The papers examined: high frequency trader behaviour during market upheaval, the rule of HFT in liquidity provision and risk management, and the effect of having new dark order rules.

 

Read: IIROC sanctions rep over false client signature

Originally published on Advisor.ca

Add a comment

You must be logged in to comment.

Register on Advisor.ca