Quebec regulator, the Autorité des marchés financiers (AMF), announced June 5 that it has given PEAK Investment Services a total of $220,000 in adminstrative penalties for inadequacies mainly related to some of its internal controls and supervision systems involving its investment business.
In a statement released June 5, PEAK announced that it has taken note of the inadequacies identified by the AMF and has already implemented "a rigorous action plan" aimed at strengthening its compliance culture internally and across the PEAK network. Additional financial investments, dedicating time and resources to compliance and internal control, have been made in order to resolve the situation rapidly,” stated Robert Frances, Chairman and CEO of PEAK Financial Group.
In its statement, PEAK emphasized that the "compliance issues in no way involve fraud or dishonesty. It is also important to point out that, in more than 25 years of existence, PEAK has never been accused of any illegal acts.”
Investors incurred no financial losses as a result of the issues.
Jean Carrier, PEAK’s Chief Compliance Officer during the time targeted by the AMF, was also fined $20,000 by the AMF. Carrier left that position before the agreement was approved, says PEAK, but he continues to work with the firm in other roles. Martin Boileau is now Chief Compliance Officer.
“We deplore this situation, but it is important to reiterate that it involves errors that we will rectify quickly. The situation is an opportunity to improve our work and our services to our advisors and their clients,” said Robert Frances. “It in no way casts doubt on our business model – quite the contrary. Our objective is to continue to serve clients’ best interests with complete independence.”