In a decision issued on November 27, 2013, the Bureau de décision et de révision (the Bureau) imposed administrative penalties in the amount of $12,000 on Windermere, a firm registered with the AMF as a portfolio manager, a fund manager and an exempt market dealer, as well as on its compliance officer.
This matter is related to the changeover on January 1, 2011 to the new accounting standards (IFRS) applicable to the preparation of financial information. Further to the filing by Windermere of its interim financial information for the first quarter of 2011, the AMF requested that the firm provide documents and explanations to ensure that the new accounting standards had been properly applied. Documents provided to the AMF showed that Windermere had not adequately made the changeover to the new accounting standards when it initially filed its interim financial information for the first quarter of 2011. Corrections were made, but some of the requested documents and explanations were not provided to the AMF within the prescribed time.
Consequently, the AMF filed a request for administrative penalties alleging that Windermere had not maintained accounting records consistent with IFRS, had failed to furnish its interim financial information in accordance with IFRS, and had failed to respond to a request from the AMF within the prescribed time, pursuant to the powers conferred on the AMF under section 237 of the Securities Act. In addition, Windermere's compliance officer failed to monitor and assess the conduct of the firm and the individuals acting on its behalf to ensure compliance with securities legislation.
Windermere and its compliance officer acknowledged all the facts set out in the amended request for administrative penalties and agreed with all of the conclusions, which were approved by the Bureau.