A hearing panel of the Investment Dealers Association of Canada imposed discipline penalties on Jean-Louis Trudeau, at the material time an approved person at the Montreal head office of MacDougall, MacDougall & MacTier Inc.

In its disciplinary decision dated Dec. 12, 2006, the panel ruled that, during February 2003 and May 2004,Trudeau failed to use due diligence to ensure that the acceptance of orders for the accounts of four clients was within the bounds of good business practice.

Trudeau failed in his role to protect the public interest by executing trades that were indicative of unlawful or suspicious behaviour without making any prior effort to determine whether insider trading or the use of privileged information was involved. In finding Trudeau guilty of this first count, the Panel recalled the crucial role of participants in the securities industry who contribute to the honesty of the system by not willingly turning a blind eye to the lapses or to the conduct of their clients, and by questioning their dubious actions.

Furthermore, the panel found that, during June 2001 and May 2004, Trudeau failed to use due diligence to ensure that he learned the essential facts relative to four clients, and to every order or account accepted. Trudeau neglected to identify the clients in accordance with IDA guidelines relative to the proceeds of crime (money laundering) legislation and failed to obtain necessary information from his clients.

Pursuant to the penalty decision dated June 14, 2007, Trudeau must pay a total fine of $130,000, disgorge $41,342.63 in commissions, and must pay $30,000 in costs.

In addition, Trudeau is required to re-write and pass the Conduct and Practices Handbook Exam within one year of the effective date of the decision.

Trudeau is currently employed with Canaccord Capital Corp.

For a complete summary of facts, please see IDA Bulletin 3646.