A hearing panel of the Investment Dealers Association of Canada has imposed discipline penalties on Canaccord Capital Corp.

In its written reasons for decision dated June 29, the panel considered, reviewed, and accepted a Settlement Agreement negotiated between Canaccord and Staff of the IDA’s Enforcement Department.

Canaccord admitted that from November 2001 through November 2002 it failed to adequately supervise a pro account by failing to restrict a trading strategy, which it knew, or ought to have known, might be unfair to other market participants, and by failing to establish procedures which would enable it to detect whether the trading in the account was fair to other market participants.

For its misconduct, Canaccord is fined $80,000 and must pay $5,000 in costs.

For a complete summary of facts, please see IDA Bulletin 3643.