A hearing panel of the Mutual Fund Dealers Association (MFDA) has permanently banned a former mutual fund rep, after finding she misappropriated more than $30,000 from a pair of elderly investors, the self-regulatory organization announced on Friday.
Following a hearing on May 24, the panel permanently banned Eileen Marie Desgroseilliers a former rep with Investors Group Financial Services Inc. in Thunder Bay, Ont. In addition to the ban, the panel also ordered that she be fined $75,000 and pay costs of $10,000.
In a notice of hearing, MFDA staff alleged Desgroseilliers violated MFDA rules by misappropriating more than $30,000 from two clients. The vulnerable investors were the parents of her former fiancé, one parent suffered from dementia, while the other was terminally ill.
Although the hearing panel imposed sanctions in the case, it has yet to issue its reasons regarding the sanctions. It pledges to release those reasons “in due course”.