A hearing panel of the Investment Dealers Association of Canada has fined an options rep employed by the Summerside, PEI, branch office of TD Securities Inc. $25,000 for misconduct.

On October 18, 2005, the panel considered, reviewed and accepted a settlement agreement negotiated between IDA staff and Michael Sullivan.

Sullivan has not been registered with the IDA since February 2004.

In agreeing to the settlement, Sullivan admitted that between 2001 to 2003 he facilitated a loan between clients and his son’s company without disclosing that information to TD Securities, failed to report a client’s complaint to the firm, and indicated to a client that he would make up the difference if the client’s account suffered any losses.

For his misconduct, Sullivan was assessed a $25,000 fine, and was ordered to pay $10,000 in costs.

Upon any subsequent registration, Sullivan will be subject to a period of close supervision for a period of six months, and he must rewrite and pass the Conduct and Practices Handbook examination.

For a complete summary of facts, please see IDA Bulletin 3471.