Suffering with a serious illness and the fact that she no longer sells mutual funds netted a former Maple Ridge advisor a light penalty from industry watchdogs.
Following a Mutual Fund Dealers Association of Canada hearing held in Vancouver Wednesday, Inocencia Bagongon Minierva has been fined only $1,000 for industry misconduct.
The woman, who previously carried out business in Maple Ridge, accepted a settlement agreement earlier this year, after being found in possession of a series of pre-signed forms used to process mutual fund transactions.
According to the hearing panel, Minierva had 15 such account forms from nine different clients reportedly garnered between March 2015 and June 2017, and in another instance she had obtained 13 pre-signed documents from eight clients between April 2014 and February 2018.
The actions were discovered in June 2018, Minierva was placed on strict supervision in July of that year.
In August of 2018, Minierva was representing Sun Life Financial Services Canada Inc. when she terminated her registration and MFDA senior vice-president of enforcement Shaun Devlin confirmed she is no longer in the securities industry “in any capacity.”
According to the MFDA, this organization – which represents about 81,000 advisors and investors across the country – regularly reminding members and dealing representatives that the use of pre-signed documents is prohibited and is a violation of the industry standards of conduct, explained hearing chair Ian H. Pitfield.
“The rule requires that each member and approved person deal fairly, honestly, and in good faith with clients; observe high standards of ethics and conduct in the transaction of business; and refrain from engaging in any business conduct or practice which is unbecoming or detrimental to the public interest,” Pitfield added.
Citing similar MFDA cases from past, he said fines have ranged between $10,000 to $12,500.
But “having regard for all of the relevant circumstances, including the factors unique to the respondent,” and the fact that she cooperated with the investigation and there were no apparent client losses or concerns, Pitfield said the penalty was “reasonable.”
Minierva has also been ordered to pay $2,500 in costs.
