Settlements

MICHAEL BONI [Agreed Stmt]

BCSECCOM #:
Document Type:
Agreed Stmt
Published Date:
1999-07-09
Effective Date:
1999-05-30
Details:


IN THE MATTER OF THE SECURITIES ACT
R.S.B.C. 1996, c. 418

AND

IN THE MATTER OF MICHAEL BONI


Agreed Statement of Facts and Undertaking

      The following agreement has been reached between Michael Boni (“Boni”) and the Executive Director:

1. Boni acknowledges the following facts as correct:
      1.1. Boni became registered as a mutual fund salesperson with Money Watch Consultants Ltd. (Money Watch) on August 7, 1996;

      1.2. Boni has been registered as a Registered Representative with Money Watch since July 17, 1997;

      1.3. on or about February of 1997 Boni was approached, on an unsolicited basis, by an individual (the “Client”) who was interested in purchasing an oil and gas fund;

      1.4. after receiving advice from Boni, the Client invested a significant portion of her liquid assets in the NCE Diversified Income Trust through Boni (the “Purchase”);

      1.5. prior to advising the Client regarding the Purchase, Boni failed to properly ascertain the net worth of the Client. Because of this Boni breached section 48(1)(a) of the Securities Rules;

      1.6. Boni subsequently settled the matter with the Client, to his and her mutual satisfaction;

      1.7. because Boni’s registration was restricted to mutual fund sales at the time of the Purchase he was not registered to sell the NCE Diversified Income Trust and therefore was in breach of section 34 of the Securities Act, R.S.B.C. 1996, c. 418 (the (“Act”);

      1.8. Boni sold the NCE Product to sixteen other clients during 1997 prior to becoming properly registered to do so, in breach of section 34 of the Act;

      1.9. Boni represents, and Money Watch agrees, that Money Watch led him to believe that the restriction to only mutual fund sales had been removed from his registration at the time of the Purchase and the sixteen other sales and when Money Watch realized it hadn’t been removed they arranged for the Purchase and the other sales to be made through the sales code of a fully registered sales person after Boni’s clients met the salesperson. Money Watch assured Boni that such an arrangement was appropriate;

2. Boni agrees to pay to the British Columbia Securities Commission the sum of $10,000, $2,500 of which represents the costs of the investigation and the remainder a penalty which will be paid into the Industry Education Fund; and

3. Boni waives any right he may have, under the Act or otherwise, to a hearing, hearing and review, judicial review or appeal related to, in connection with, or incidental to this agreement.

DATED at Vancouver, British Columbia, on May 30, 1999.


____“Karen Armstrong”______________)
Witness Signature )
)
________Karen Armstrong____________)
Witness Name (please print) ) “Michael Boni”
) Michael Boni
__13342 Amblewood Dr., Sry BC______)
Address )
)
___Clerical Worker__________________)
Occupation

DATED at Vancouver, British Columbia, on June 30, 1999.



Wayne Redwick
A/Executive Director