VANCOUVER, BC, Nov. 19,
2024 /CNW/ - Following a sanctions hearing
pursuant to the Mutual Fund Dealer Rules held on December 12, 2023, a hearing panel of the
Canadian Investment Regulatory Organization (CIRO) imposed the
following sanctions on Mohammad
Movassaghi.
a) a fine of $70,000; and
b) a permanent prohibition from conducting
securities related business in any capacity while in the employ of
or associated with any Dealer Member of CIRO registered as a mutual
fund dealer.
Mohammad Movassaghi is also
required to pay costs in the amount of $45,000.
The reasons for decision on sanctions can be found at:
Re Movassaghi 2024 CIRO 79
In an earlier decision dated November 7,
2023, the Hearing Panel found that Mohammad Movassaghi:
- falsified client X's signature on 9 account forms;
- instructed another Approved Person to submit 3 KYC Update Forms
to update records concerning the investment accounts of client X
without the knowledge or authorization of client X and failed to
exercise due diligence to learn the fact relative to client X or to
maintain accurate and complete KYC information on file prior to
client trades;
- processed or directed other Approved Persons or employees
subject to his authority to process at least 180 trades in the
investment accounts of client X without the knowledge or
authorization of client X;
- created or in some cases directed another Approved Person or
other employees who worked in his office to create records of
purported instructions received from client X which had not in fact
been received or failed to exercise due diligence to ensure that
the Records of Instructions accurately described instructions that
had been received from client X; and
- failed to disclose actual or potential conflicts of interest to
the Member and failed to abide by the conditions of approval of his
outside activities.
The decision on Liability can be found at:
Re Movassaghi 2023 CIRO 18
The violations occurred while Mohammad
Movassaghi conducted business in the Vancouver, British Columbia area.
The Canadian Investment Regulatory Organization (CIRO) is the
national self-regulatory organization that oversees all investment
dealers, mutual fund dealers and trading activity on Canada's debt and equity marketplaces. CIRO is
committed to the protection of investors, providing efficient and
consistent regulation, and building Canadians' trust in financial
regulation and the people managing their investments. For more
information, visit www.ciro.ca.
All information about disciplinary proceedings relating to
current and former member firms and individual registrants under
the Investment Dealer and Partially Consolidated Rules (for
investment dealers), the Mutual Fund Dealer Rules (for mutual fund
dealers) and the Universal Market Integrity Rules (UMIR) is
available on CIRO's website.
Background information regarding the qualifications and
disciplinary history, if any, of advisors currently employed by
CIRO-regulated investment firms is available free of charge through
the AdvisorReport service. Information on how to make
dealer, advisor or marketplace-related complaints is available by
calling 1-877-442-4322.
CIRO investigates possible misconduct by its member firms and
individual registrants. It can bring disciplinary proceedings which
may result in sanctions including fines, suspensions, permanent
bars, expulsion from membership, or termination of rights and
privileges for individuals and firms.
SOURCE Canadian Investment Regulatory Organization (CIRO)