IIROC rep banned, fined $275,000

Following a disciplinary hearing held on October 27, 2016, in Toronto, Ontario, a hearing panel of the Investment Industry Regulatory Organization of Canada (IIROC) found that Jeffrey Edward Gebert was liable of entering into personal financial dealings with a client, obtaining and submitting blank and/or pre-signed investment related forms for clients, and failing to co-operate with an IIROC investigation.

Specifically, the hearing panel found that Gebert committed the following violations:

Count 1: From March 2010 to January 2012, Gebert engaged in conduct unbecoming or detrimental to the public interest in that he entered into personal financial dealings with his client by obtaining a loan from his client without the knowledge or consent of his Dealer Member firm, contrary to IIROC Dealer Member Rule 29.1.

Count 2: From December 2012 to February 2015, Gebert engaged in conduct unbecoming or detrimental to the public interest in that he obtained and submitted blank and/or pre-signed investment related forms in respect of several of his clients, contrary to his Dealer Member firm’s internal policies, and IIROC Dealer Member Rule 29.1.

Count 3: In May 2016, Gebert failed to co-operate with an IIROC investigation by failing to attend a compelled interview, contrary to IIROC Dealer Member Rule 19.5.

The hearing panel imposed the following penalties on Gebert:

(a) A fine in the amount of $275,000; and

(b) A permanent ban from approval to act in any registered capacity with any IIROC member.

Gebert is also required to pay costs in the amount of $20,000.

IIROC formally initiated the investigation into Gebert’s conduct in July 2015. The violations occurred while he was a registered representative with a Toronto branch of BMO Nesbitt Burns Inc., and a Toronto branch of Manulife Securities Incorporated, both IIROC-regulated firms. Gebert is no longer a registrant with an IIROC-regulated firm.

Read the hearing panel’s decision, dated November 14, 2016.

Staff

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