A hearing panel of the Investment Industry Regulatory Organization of Canada has accepted a settlement agreement, with sanctions, between IIROC staff and Steven Fred Bodon, announced the regulator March 27.
The investment advisor admitted that he “failed to use due diligence to know his two senior clients and failed to ensure that recommendations were suitable for his clients. Both senior clients were vulnerable and had limited investment knowledge. They sustained significant losses as a result of Mr. Bodon's actions,” stated IIROC in an announcement.
Bodon has agreed to a penalty that includes a fine of $50,000 and a six-month suspension from registration in any capacity with IIROC. He also agreed to pay $5,000 in costs.
IIROC formally began its investigation into Bodon's conduct in October 2015. The conduct occurred while he was a representative with the Calgary branch of CIBC World Markets Inc., an IIROC-regulated firm. Bodon is no longer a registrant with an IIROC-regulated firm.