B.C. man fined, banned from financial markets for failing to ensure investments were 'suitable' for his clients
The B.C. Securities Commission has fined an Armstrong man $150,000 and banned him from working in the investment industry for 15 years.
In a settlement with the commission, Albert Alan Housego admitted to misconduct he engaged in while working for an Ontario company called Crystal Wealth Management System Limited in 2015 and 2016. He managed four investment funds for Crystal Wealth.
Housego was registered with the BCSC as an advising representative from 2014 to 2017, and he managed accounts for at least 487 clients.
In 2016, after a high-risk investment in a gold mining company by one of the funds he managed defaulted, Housego placed at least 260 of his clients in that fund, with investments totalling $985,000.
According to the settlement agreement, Housego admitted that he did this without having "sufficient information about some of these clients to assess whether the investments were suitable for them."
He also admitted that he breached his obligation to ensure that investments were suitable for his clients when he invested 323 of them in a pair of the funds he managed that were invested in "gold subscription agreements." The investment totaled roughly $6.7 million.
Housego "spent one day reading the material" about the gold subscription agreements before investing in them, and "did not perform any other due diligence," according to the settlement.
As a result of the settlement, the BCSC's executive director has ordered Housego to pay $150,000 to the commission. The order also prohibits Housego from the following:
- trading or purchasing any securities except in one account in his own name;
- acting as a registrant or promoter;
- acting in a management or consultative capacity in connection to the securities market; and
- engaging in promotional activities.
The ban will last for 15 years or until the $150,000 fine is paid, whichever is longer.
CTVNews.ca Top Stories
'He's in our hearts': Family and friends still seek answers one year after Nathan Wise’s disappearance
It’s been a year since Nathan Wise went missing and his family is no closer to finding out what happened to him.
'My family doctor just fired me': Ontario patients frustrated with de-rostering
Dozens of Ontarians are expressing frustration in the province’s health-care system after their family doctors either dropped them as patients or threatened to after they sought urgent care elsewhere.
Ottawa pizzeria places among top 20 deep-dish pizzas in the world at international competition
An Ottawa pizzeria is being recognized as one of the top 20 deep-dish pizzas in the world.
Canada Post cracks down on Nunavut loophole to get free Amazon Prime shipping
Amazon's paid subscription service provides free delivery for online shopping across Canada except for remote locations, the company said in an email. While customers in Iqaluit qualify for the offer, all other communities in Nunavut are excluded.
Wildfire near Fort McMurray more than triples overnight, several evacuation alerts remain in place
The fire burning near Fort McMurray grew from 25 hectares to 5,500 hectares over the weekend.
Putin replaces Russian defence minister in rare cabinet shakeup
Russia’s President Vladimir Putin began a Cabinet shakeup on Sunday, proposing the replacement of Sergei Shoigu as defence minister as he begins his fifth term in office.
Man fatally 'slashed in the neck' in downtown Toronto, suspect outstanding
Police are searching for a male suspect after a man was “slashed in neck” on Sunday morning in downtown Toronto and died.
WATCH Dashcam video shows terrifying near-miss on two-lane northern Ontario highway
There were some scary moments for several people on a northern Ontario highway caught on video Thursday after a chain reaction following a truck fire.
Edibles, armchairs and adapters: Here are the recalls for this week
Health Canada announced various product recalls this week, including electric adapters, armchairs, cannabis edibles and vehicle components.