The Mutual Fund Dealers Association has still not notified members on how it will proceed on appointing new board members after last week’s annual general meeting, where members voted down the proposed amendment that would have seen term extensions for directors.

The MFDA released a bulletin on Thursday to notify members that two existing pubic directors, Robert Wright and Janet Pau, will continue in their current roles until successors are appointed, but had no word on how long it would take or what the procedure would be.

Members rejected the proposed amendments to the definition of “Public Director” and the terms of office for directors in MFDA By-law No. 1 which would have included changes to the terms of office and maximum tenure for all MFDA directors to four terms of two years each, from two terms of three years each. That would increase the total maximum years to eight from six.

In order for a proposal to be passed 2/3 of the votes must be majority votes. The AGM saw a result of 45 in favour and 37 opposed leaving the amendment defeated. The meeting also saw one of the largest turnouts the MFDA has ever seen as well as the first time a proposal has been turned down by members.

The bulletin released Thursday also stated that Stephen Geist, Peter W. Glaab and Robert M. Sellars, were approved as industry directors of the corporation to hold office for two-year terms until the 2010 annual general meeting.

Also at the meeting, members in attendance approved the appointment of Toronto-based Deloitte & Touche LLP as auditors for the corporation and confirmed the amendments to the MFDA rules and the MFDA financial questionnaire and report described in the meeting materials circulated with the notice of meeting, with the exception of MFDA Rule 1.1.7. which the bulletin stated “In light of confusion expressed by certain Members with respect to the effect of the proposed housekeeping amendments to Rule 1.1.7, the proposed amendments were withdrawn from consideration at the AGM with the consent of the members.”

The MFDA were not available to comment at this time.

IE