A portfolio manager has agreed to pay the British Columbia Securities Commission (BCSC) $12,000 for a regulatory capital shortfall and associated compliance violations.
The BCSC said Monday that Kilburn Ogilvie Waymann Investment Management Ltd. (KOWIM) and the firm’s chief compliance officer, Trevor Kilburn, are to pay $12,000, as part of a settlement agreement, for failing to establish and maintain an adequate compliance system, and failing to maintain a minimum level of regulatory capital.
The settlement says that a compliance audit conducted by the BCSC in June 2011 found that the firm failed to maintain minimum regulatory capital between September 29, 2010 and July 14 2011; and, that it failed to establish and maintain an adequate compliance system.
The agreement also notes that the firm cooperated fully with commission staff during and after the audit, acted quickly to correct the shortfall, and has no history of disciplinary problems. And, it says that before the compliance exam was complete, Kilburn hired an experienced compliance consultant to build a more comprehensive, firm specific compliance system, and to rewrite its policy and procedures manual.