Enforcement Notice Decision - IN THE MATTER OF Mark Steven Rotstein - Settlement Accepted

Jul 04, 2014, 16:30 ET from Investment Industry Regulatory Organization of Canada (IIROC) - General News

TORONTO, July 4, 2014 /CNW/ - On July 3, 2014, a Hearing Panel of the Investment Industry Regulatory Organization of Canada (IIROC) accepted a Settlement Agreement, with sanctions, between IIROC staff and Mark Steven Rotstein.

Mr. Rotstein admitted that he entered an unauthorized trade in a client account while subject to close supervision imposed under a prior settlement agreement.

Specifically, Mr. Rotstein admitted to the following violation:

(a)    In or around June 2012, Mr. Rotstein entered a trade for a client without that client's knowledge or authorization, contrary to IIROC Dealer Member Rule 29.1.
Pursuant to the Settlement Agreement, Mr. Rotstein agreed to the following penalties:
(a)        He is prohibited from registration with IIROC for a period of 18 months;
(b)       He shall be subject to strict supervision for a period of two years in the event that he becomes registered with IIROC;
(c)       He shall maintain written records of any and all client trading instructions in respect of all trades entered into client accounts during his two-year period of strict supervision and those written records shall be reviewed by Rotstein's supervisor as part of the requirements of strict supervision; and
(d)       His written records shall be made available to IIROC staff on request for inspection over the two-year period of strict supervision.

Mr. Rotstein also agreed to pay costs in the amount of $5,000.

The Settlement Agreement is available at
http://docs.iiroc.ca/DisplayDocument.aspx?DocumentID=9074656F1E8C4F82B73BB73E3FA4CC0C&Language=en and the Hearing Panel's reasons for decision will be made available at www.iiroc.ca.

Documents related to ongoing IIROC enforcement proceedings - including Reasons and Decisions of Hearing Panels - are posted on the IIROC website as they become available. Click here to search and access all IIROC enforcement documents.

IIROC formally initiated the investigation into Mr. Rotstein's conduct in July 2012. The violations occurred when he was a Registered Representative with the Rosedale branch of Scotia Capital Inc., an IIROC-regulated firm. Mr. Rotstein is no longer a registrant with an IIROC-regulated firm.

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IIROC is the national self-regulatory organization which oversees all investment dealers and trading activity on debt and equity marketplaces in Canada. Created in 2008 through the consolidation of the Investment Dealers Association of Canada and Market Regulation Services Inc., IIROC sets high quality regulatory and investment industry standards, protects investors and strengthens market integrity while maintaining efficient and competitive capital markets.

IIROC carries out its regulatory responsibilities through setting and enforcing rules regarding the proficiency, business and financial conduct of dealer firms and their registered employees and through setting and enforcing market integrity rules regarding trading activity on Canadian equity marketplaces.

IIROC investigates possible misconduct by its member firms and/or individual registrants. It can bring disciplinary proceedings which may result in penalties including fines, suspensions, permanent bars, expulsion from membership, or termination of rights and privileges for individuals and firms.

All information about disciplinary proceedings relating to current and former member firms is available in the Enforcement section of the IIROC website. Background information regarding the qualifications and disciplinary history, if any, of advisors currently employed by IIROC-regulated firms is available free of charge through the IIROC AdvisorReport service. Information on how to make investment dealer, advisor or marketplace-related complaints is available by calling 1 877 442-4322. 

SOURCE Investment Industry Regulatory Organization of Canada (IIROC) - General News