IIROC expels firm for ceasing to carry on business

By Staff | January 4, 2017 | Last updated on January 4, 2017
1 min read

On December 14, 2016, a hearing panel of the Investment Industry Regulatory Organization of Canada (IIROC) accepted a settlement agreement, with sanctions, between IIROC staff and Union Securities Ltd. (Union).

Union admitted that it had ceased to carry on business as a dealer and failed to maintain risk-adjusted capital above zero.

Specifically, Union admitted to the following violations:

(a) Since October 2012, it had ceased to carry on business as a dealer as contemplated by IIROC Rule 8.8; and

(b) Since July 2013, it had failed to maintain a risk adjusted capital above zero contrary to IIROC Rule 17.1.

Pursuant to the settlement agreement, Union agreed to the following penalty:

(a) Expulsion from membership in IIROC.

Read the settlement agreement.

IIROC formally initiated the investigation into Union Securities Ltd. in January 2016. The firm had been suspended since November 2013 but had remained an IIROC-regulated firm.

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