October 28, 2022 (Calgary, Alberta) – On October 20, 2022, a Hearing Panel of the Investment Industry Regulatory Organization of Canada (IIROC) accepted a Settlement Agreement, with sanctions, between IIROC staff and Gregory Paul Bealer.
Mr. Bealer admitted failing in his role as a gatekeeper by facilitating suspicious trading activity in a client account; making off-book investments, and failing to designate several client accounts as pro-accounts and investing them in ineligible new issues.
Specifically, Mr. Bealer admitted to the following violations:
- Between March 2018 and March 2019, he failed in his role as a gatekeeper by facilitating suspicious trading activity in a client account, contrary to IIROC Rule 1400;
- Between January and December 2017, he personally made off-book investments, without the proper approval by his firm, contrary to IIROC Rule 1400; and
- Between April 2016 and October 2018, he failed to designate several client accounts as pro-accounts. He then invested the client accounts in ineligible new issues, without receiving appropriate approvals from his firm, contrary to IIROC Dealer Member Rule 43.2(5) and IIROC Rule 1400.
Pursuant to the Settlement Agreement, Mr. Bealer agreed to the following penalty:
- A fine in the amount of $50,000 plus disgorgement in the amount of $17,269;
- Five-month prohibition of approval from IIROC registration; and
- Twelve-month period of close supervision.
Mr. Bealer also agreed to pay costs in the amount of $5,000.
The Settlement Agreement is available at:
Bealer, Gregory – Settlement Agreement
The Hearing Panel’s decision will be made available at www.iiroc.ca.
IIROC formally initiated the investigation into Mr. Bealer’s conduct in May 2019. The conduct occurred while he was a Registered Representative with the Edmonton branch of CIBC World Markets Inc., an IIROC-regulated firm. Mr. Bealer is no longer a registrant with an IIROC-regulated firm.
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All information about disciplinary proceedings relating to current and former member firms is available in the Enforcement section of the IIROC website.
Background information regarding the qualifications and disciplinary history, if any, of advisors currently employed by IIROC-regulated firms is available free of charge through the IIROC AdvisorReport service. Information on how to make investment dealer, advisor or marketplace-related complaints is available by calling 1 877 442-4322.
IIROC investigates possible misconduct by its member firms and/or individual registrants. It can bring disciplinary proceedings which may result in penalties including fines, suspensions, permanent bars, expulsion from membership, or termination of rights and privileges for individuals and firms.
IIROC is the pan-Canadian self-regulatory organization that oversees all investment dealers and their trading activity in Canada's debt and equity markets. IIROC sets high quality regulatory and investment industry standards, protects investors and strengthens market integrity while supporting healthy Canadian capital markets. IIROC carries out its regulatory responsibilities through setting and enforcing rules regarding the proficiency, business and financial conduct of 174 Canadian investment dealer firms of varying sizes and business models, and their more than 32,000 registered employees. IIROC also sets and enforces market integrity rules regarding trading activity on Canadian debt and equity marketplaces. For more information, visit www.iiroc.ca.