The Pacific District Council of the Investment Dealers Association of Canada has fined a registered rep at the Vancouver Head Office of Canaccord Capital Corp. $25,000 for trading in an account without written authorization.

On June 15, 2004, District Council considered, reviewed and accepted a Settlement Agreement negotiated between Mr. Aligizakis and staff of the Association. Pursuant to the Settlement Agreement reached June 15, Larry Aligizakis admitted that:

  • he advised a client that a sale of 20,000 shares of Goldbrook Ventures Inc. had occurred in their account when he knew that, in fact, the trade had not been entered; and
  • he knowingly recorded inaccurate information on the NCAF of a client so that the transactions of their account, which might have appeared unsuitable to the client had the information on the NCAF been accurately recorded, would not be questioned by supervisory or compliance personnel.

Aligizakis also admitted that:

  • he effected seven discretionary transactions in the account of a client without their prior written authorization, and without the account being approved and accepted as a discretionary account; and
  • he effected nine discretionary purchases and nine discretionary sales in the account of a client without their prior written authorization, and without the account being approved and accepted as a discretionary account.

Besides the fine, the IDA prohibited Aligizakis from approval with any IDA member firm for a period of nine months. His re-approval is conditional upon full payment of the fine and costs and he will be subject to close supervision for a period of 12 months.

In addition Aligizakis must pay $7,000 towards the IDA’s investigation costs.