The Investment Dealers Association of Canada (IDA) has found Vancouver-based Golden Capital Securities Ltd. guilty of failing to provide IDA staff with access to mirrored hard drives for three of its employees.

The information contained on the hard drives was required by IDA staff for the purpose of an ongoing investigation.

The IDA began an investigation into Golden’s supervision of the handling of certain accounts after it received information from the British Columbia Securities Commission suggesting that three Golden employees had contravened the Know Your Client rules.

A penalty hearing was held on December 20, 2007. The hearing panel also indicated that it would make an order to give IDA staff access to the mirrored hard drives by a method that would maintain solicitor and client confidentiality.