News Release
Canadian securities regulators caution industry about false and misleading registration applications and outline changes to trading supervision reports
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Date:
2017-07-13 -
Number:
2017/59
Toronto - The Canadian Securities Administrators (CSA) today published CSA Staff Notice 33-320 The Requirement for True and Complete Applications for Registration to caution firms and individuals about the potential consequences of submitting false or misleading applications for registration.
Each year, CSA staff receive many applications for registration that omit relevant information or contain information that is vague or untrue.
"The CSA will continue to hold individuals and firms accountable for false or misleading applications," said Louis Morisset, CSA Chair and President and CEO of the Autorité des marchés financiers. "Applications for registration must be completed with truth and candour, and we expect firms to have robust policies and procedures in place to ensure this is the case for any applications they sponsor."
Applications for registration are made through a prescribed form that requires the applicant to disclose information that CSA staff use to assess fitness for registration. This information includes, but is not limited to, information about current and previous employment, as well as financial and criminal disclosure.
After an individual becomes registered, if any of the information provided in their initial application changes, they must update their information using the prescribed form and within the time periods provided for in National Instrument 33-109 Registration Information.
If an individual discloses false or misleading information to CSA staff, the matter may result in a denial of registration or in regulatory action being taken against a registrant. False or misleading statements made during the application process may also constitute a provincial or criminal offence. CSA staff may also take regulatory action against anyone complicit in an applicant's delivery of a false or misleading application, including the sponsoring firm.
The CSA also published today CSA Staff Notice 31-349 Change to Standard Form Reports for Close Supervision and Strict Supervision Terms and Conditions, which relates to dealing representatives that require enhanced supervision on their trading activities. The notice describes close and strict supervision and outlines changes to standard form reports.
The notices can be found on CSA members' websites.
The CSA, the council of the securities regulators of Canada's provinces and territories, co-ordinates and harmonizes regulation for the Canadian capital markets.
For more information:
Kristen Rose Ontario Securities Commission 416-593-2336 | Hilary McMeekin Alberta Securities Commission 403-592-8186 |
Alison Walker British Columbia Securities Commission 604-899-6713 | Sylvain Théberge Autorité des marchés financiers 514-940-2176 |
Jason (Jay) Booth Manitoba Securities Commission 204-945-1660 | Andrew Nicholson Financial and Consumer Services Commission, New Brunswick 506-658-3021 |
David Harrison Nova Scotia Securities Commission 902-424-8586 | Steve Dowling Government of Prince Edward Island, Superintendent of Securities 902-368-6288 |
John O'Brien Office of the Superintendent of Securities Newfoundland and Labrador 709-729-4909 | Rhonda Horte Office of the Yukon Superintendent of Securities 867-667-5466 |
Jeff Mason Nunavut Securities Office 867-975-6591 | Tom Hall Office of the Superintendent of Securities Northwest Territories 867-767-9305 |
Shannon McMillan Financial and Consumer Affairs Authority of Saskatchewan 306-798-4160 |