The Investment Dealers Association of Canada is proposing an overhaul of the by-law governing its hearing processes to better comply with principles of administrative fairness and to consolidate and streamline the process.
The Ontario Securities Commission is publishing the proposed by-law for a 30 day comment period.
The OSC says the proposed changes seek to rationalize all IDA hearing processes within one by-law, modernize the existing hearing processes, and ensure that the IDA can meet its regulatory mandate while balancing the needs of efficiency and still respecting fairness and the rules of natural justice. “This is especially important in light of the increased scrutiny of the IDA discipline process,” the OSC says.
The IDA says that an extensive internal and external consultation process has been undertaken in the development of the revised by-law.
The proposed rules include:
- a revision to the process applicants must follow when applying for membership approval, exemptions from proficiency requirements and introducing/carrying broker arrangements;
- a revision to the process for imposition and review of early warning level 2 prohibitions has been amended; a revised expedited hearing process that broadens the ability of the IDA to react to emergency situations and provides a broader range of remedies; and
- a new appeal process establishes an Appeal Panel that has the necessary mix of skills and competencies to ensure fairness.