CANADA: IIROC Strengthens Regulation and Investor Protections in Manitoba

Wednesday June 6 2018

On 5^th June 2018, the Investment Industry Regulatory Organization of Canada (IIROC) thanked the Government of Manitoba for passing legislation that gives IIROC more effective tools to protect Manitoba investors.

The amendments to the Securities Act and Commodity Futures Act provide IIROC with the legal authority to more effectively and consistently enforce its rules and discipline those who break them.

This legislation grants IIROC:

• the ability to enforce through the courts its fines against individuals that engage in misconduct, sending a strong deterrent message;
• the protection against malicious lawsuits while acting in good faith to carry out its public interest mandate to protect investors; and
• the right to appeal a decision made by an IIROC hearing panel to the Manitoba Securities Commission (MSC)

IIROC investigates and prosecutes firms and investment advisors who breach the regulator’s rules by, for example, misappropriating funds from clients, falsely endorsing client signatures and/or making unsuitable recommendations to investors, commonly seniors and vulnerable investors who suffer significant financial losses.

For additional information please click the link above.