A hearing panel of the Prairie Regional Council of the Mutual Fund Dealers Association of Canada has issued a Reasons for Decision document in connection with disciplinary hearings in Alberta in the matter of Murray Arnold Greenberg, and Katrina Anne Powell, a former branch manager.
In the document, the panel confirms the following sanctions have been levied against the respondents:
Against Greenberg, the panel’s imposed:
- a permanent prohibition on the authority of the respondent to conduct securities-related business in any capacity while in the employ of or associated with any MFDA Member;
- a $250,000 fine; and
- $10,000 in costs.
Against Powell, the panel’s imposed:
- a permanent prohibition on the authority of the respondent to conduct securities-related business in any capacity while in the employ of or associated with any MFDA Member; and
- $5,000 in costs.
According to the Reasons for Decision document, the MFDA panel alleged that “between September 2005 and April 2009, Greenberg engaged in securities-related business that was not carried on for the account and through the facilities of the Member by recommending, selling, facilitating the sale or making referrals in respect of the sale of approximately $13.45 million of investment products to at least 40 clients outside the Member, contrary to MFDA Rules 1.1.1, 2.4.2 and 2.1.1.”
As a result, adds MFDA, Greenberg “had and continued in another gainful occupation which was not disclosed to and approved by the Member…contrary to MFDA Rules 1.2.1(d) and 2.1.1.”
Further, the document says, “In or around July 2009, Greenberg failed to inform the Member of a complaint from [a] client…concerning the sale of an investment outside the Member, contrary to s. 4.1 of MFDA Policy No. 6.”
Regarding Powell, the MFDA says, “Between September 2005 and July 2009, Powell failed to fulfill her supervisory responsibilities as a branch manager by permitting, acquiescing in or facilitating the sale or referral of investment products by Greenberg outside the Member, contrary to MFDA Rule 2.5.3(b), MFDA Policy No. 2 and MFDA Rule 2.1.1.”
Read the full document.