A former CIBC World Markets Inc. employee, Andy Hyon Chul Kim, has been fined $25,000 by the Investment Dealers Association of Canada (IDA).
Kim invested in a private placement, opened an account with another firm, misrepresented his resident status and other information on the application to qualify for the placement, and failed to disclose a number of other activities to his employer, among other misdeeds.
Kim has been fined $25,000 and is required to pay $15,000 in costs.
The IDA found out about this activity in December 2005 after receiving Kim’s Uniform Termination Notice (UTN) from CIBC as well as an anonymous tip.
The panel found that Kim’s misdeeds were serious “in that they go to the fundamental foundation of trust between a registered representative and his employer.” It found that Kim’s actions were deceitful and exposed CIBC to dire consequences.
The panel took into account the following mitigating factors when assessing Kim’s penalty: when confronted with his misconduct, Kim did not conceal his actions and cooperated fully with both CIBC and the IDA; Kim’s employment with CIBC was terminated and the panel considered this to be “equivalent to a suspension”; Kim’s misconduct did not involve clients and he did not receive any compensation for his outside business activities.
The IDA is appealing the sanction imposed on Kim to the Ontario Securities Commission.
Kim is currently employed with the Oakville, Ont. branch of TD Waterhouse Canada Inc.
Former CIBC broker hit with $25,000 fine
Penalties stem from actions surrounding private placement investments
- By: Regan Ray
- December 13, 2007 December 13, 2007
- 14:49