MFDA bans and fines rep for ‘misappropriating’ TFSA funds

An MFDA hearing panel has permanently banned and fined a previously registered representative for misappropriating client funds and failing to cooperate with an investigation.

Over a period of about five months, Nathan Eric Breukelman, a dealing representative at the time with Investors Group in Thunder Bay, Ont., misappropriated $28,889.45 from the TFSA of a client—his former common-law spouse, the hearing panel found.

Breukelman failed to deal fairly, honestly and in good faith with the client, failed to observe high standards of ethics and conduct in the transaction of business, and engaged in business conduct or practice unbecoming or detrimental to the public interest, contrary to MFDA Rule 2.1.1, the MFDA said in a release.

Breukelman also failed to cooperate with an MFDA investigation into his conduct, contrary to section 22.1 of MFDA Bylaw No. 1.

The hearing panel permanently banned Breukelman from conducting securities-related business over which the MFDA has jurisdiction. He was also fined $125,000 and must pay costs of $7,500.

A firm investigation following the client’s complaint resulted in Investors Group terminating Breukelman and fully compensating the client, says the hearing notice.

Staff

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