Former advisor faces 4-year prison sentence

Jennifer Killins, a 38-year-old former financial planner from Waterloo, has been sentenced to four years in prison, reports CTV News.

She admitted to scamming her clients out of $1.3 million, adds CTV, and conceded she spent the money on a book launch and on bills, among other expenses.

In court, says CTV, Justice Colin Westman stressed there are too many scam artists in our communities. He said the government should require that advisors insure their clients’ investments to protect them from fraud. Read more.

One commenter on the story, an advisor from London, pointed out he pays “thousands per year to carry [errors and omissions] insurance.” The problem, he adds, is few investors inquire about it.

To help protect themselves against scams, the advisor encouraged clients to not only ask about the insurance, but to also ask for proof it exists. He also suggests they regularly review their accounts statements.

In his view, “There are too many snakes in the grass…No amount of government regulation will catch them all, [so] savvy investors who…don’t blindly trust are a key defence to the problem.”

Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.