On June 20, 2016, the Bureau de décision et de révision (the "Bureau") rendered a decision against mutual fund dealer Beaudoin, Rigolt & associés inc. ("Beaudoin Rigolt"). This decision, made in the absence of a chief compliance officer recognized by the AMF among the dealer's employees, imposes various conditions on Beaudoin Rigolt's registration.
Pursuant to the decision, the dealer must:
- File an application for a chief compliance officer through the National Registration Database (NRD) within 45 days of the date of decision;
- Designate and register a chief compliance officer within 60 days of the date of decision.
In the meantime, the dealer is prohibited from opening any new client accounts and granting new leveraged loans.
In rendering its decision, the Bureau reiterated that the duties and obligations regarding compliance by the dealer, chief compliance officer and persons registered on behalf of the dealer have far-reaching consequences, and it is the responsibility of the persons registered to comply exactly with the measures set out in Regulation 31-103 respecting Registration Requirements, Exemptions and Ongoing Registrant Obligations.
The Bureau also highlighted that certain circumstances specific to this dealer, including associations suspended with a financial institution, have prompted it to exercise greater caution in this matter and not overlook the slightest deviation.