The Nova Scotia Securities Commission (NSSC) has settled with mutual fund dealer Credential Asset Management Inc. over allegations that it failed to maintain proper books and records.
The NSSC approved a settlement agreement with the firm and ordered it to pay an administrative penalty of $14,000, costs of $1,000, and to comply with Nova Scotia securities laws. It notes that the company accepted responsibility for its conduct.
The commission says that Credential violated Nova Scotia securities laws by failing to maintain appropriate books and records. The lapse was revealed after NSSC enforcement staff requested a client information file in April 2012, and, it says, “after the company was unable to produce copies of the documents in a reasonable time, it was discovered that its client information files were not stored in the accurate form in violation of securities laws.”
“It’s important for registrants to maintain up to date and accurate records of client information and instructions in compliance with securities laws and to develop best compliance practices,” said Stephanie Atkinson, enforcement counsel for the NSSC.