If you found out your doctor had been permanently banned from practicing medicine, would you want her to be your pharmacist?

Likely not. But an investigation has identified nine cases between 2013 and 2015 where reps were permanently banned by their SRO and remained authorized to sell life insurance products for periods ranging from six months to years after. Of those nine, five are still authorized to sell today (Sept. 14, 2016).

As part of that investigation, combed through all the people who appeared in IIROC and MFDA’s enforcement reports from 2013 to 2015. That means we reviewed more than 250 cases.

We wanted to highlight two that were particularly egregious: one was disciplined by IIROC, the other by the MFDA. In both cases, the person disciplined is still currently authorized to sell insurance products.

Licensee A

Misconduct* occurs

February 2013 to April 2014

Renews FSCO licence

September 2014

IIROC registration ends

January 2015

IIROC hearing panel imposes fine and permanent ban

August 2015

Online resume posted; licensee touts CPA and holds self out as “Senior Investment Advisor”

November 2015

Continues to hold valid CPA

May 2016**

Earliest renewal date for FSCO insurance licence

July 2016

Expiry of FSCO insurance licence

September 2016

*Deemed as such by IIROC.
**as of May 18, 2016.

Sources: IIROC settlement agreement;
FSCO database

Licensee B

Misconduct* occurs

September 2005 to 2008

MFDA investigation begins


MFDA releases decision imposing fine and permanent ban effective June 2013

June 2014

Renews FSCO insurance licence

September 2015

Earliest renewal date for FSCO insurance licence

July 2017

Expiry of FSCO insurance licence

September 2017

*Deemed as such by MFDA.

Sources: MFDA enforcement database;
FSCO database

What can be done about this? Read our recommendations.

Melissa Shin is Editorial Director of Advisor's Edge. Email her at
Originally published on
See all comments Recent Comments


Unbeleivable. These are the folks who regulate us…protect consumers. And none of them ever thought to crosscheck registrations with other orgs?

Friday, Jul 1, 2016 at 9:16 pm Reply

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