Securities Fraud Charges
In the recent global banking environment, suspicion of fraudulent activity in the banking sector has become more and more common. In Canada, Western Canadian securities regulators are showing a renewed interest in pursuing criminal and quasi-criminal actions against both individual and companies who may – or may not – be guilty of securities fraud.
Security fraud becoming common in Alberta
Part of the challenge is the complexity of the financial arrangements created in the securities industry. Soured financial management relationships often lead to allegations of security fraud, which are sometimes simply a matter of miscommunication between client and advisor. The difficult nature of financial advising is that money is often a sensitive or delicate matter for many investors who are staking their dreams of future happiness on the market.
The Danger of not knowing your client
Advisors themselves can fail to properly conform to standard industry “Know Your Client (KYC)” rules of financial advising. Without the proper knowledge of their clients needs, advisors may commit infractions without being aware of it. Or, alternately, they may be accused of such by unsatisfied clients frustrated with the evaporation of supposedly secure funds.
Charges for securities fraud in Calgary, AB
Some possible charges that may be levied include:
- Absence of informed consent
- Failure to meet annually with clients in accordance with IIROC (Investment Industry Regulatory Organization of Canada)
- Ignorance and negligence of KYC rules
- Improper KYC documentation
- Misrepresentation of financial data and investment risk
If convicted, these charges could lead to heavy sanctions, fines or other penalties that will severely hamper your ability to conduct business and generate an income.
Defending against charges of investment fraud in Alberta
Ryan Claxton’s experienced securities fraud lawyers will help you mount an effective investment fraud defense. Call us today at 1-587-315-0447.