The Mutual Fund Dealers Association of Canada has sanctioned a former branch manager with IPC Investment Corp. for refusing to co-operate with an MFDA investigation.
A disciplinary hearing in the matter of Vaughan Spencer was held Wednesday in Toronto before a hearing panel of the MFDA’s Central Regional Council.
The panel found that Spencer failed to attend an interview requested by MFDA staff during the course of an investigation.
During an MFDA disciplinary proceeding against Conrad Nunweiler, a former approved person registered in British Columbia with IPC, Nunweiler alleged that Spencer encouraged him to solicit money from clients that would be invested in investments owned or operated by Spencer.
In January 2011, the MFDA emailed Spencer and requested he contact MFDA staff to discuss the Nunweiler matter. Through his counsel, Spencer denied Nunweiler’s allegations. After further allegations were made by Nunweiler against Spencer, the MFDA repeatedly contacted Spencer to advise him that he was required to attend an interview on April 8, 2011 to answer staff’s questions. Spencer failed or refused to attend the meeting.
At the disciplinary hearing Wednesday, the MFDA panel imposed a permanent prohibition on Spencer to conduct securities related business while in the employ of an MFDA member. It also ordered him to pay a $50,000 fine and $7,500 in costs.
Spencer is currently not registered in the securities industry in any capacity.