The perfect professional organized crime

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Re: The perfect professional organized crime

Postby admin » Wed May 15, 2019 10:15 am

May 2019
FAIR Focus

FAIR Canada Calls for Support from Canadians
Dear Canadians,

As you can see from the Globe and Mail story below, FAIR Canada is struggling for funding to be able to properly discharge its mission of representing the interests of Canadian investors and consumers of financial products and services.

The social contract between Canadians and Canadian financial institutions is working well for the banks, insurance companies and the investment dealers. The government protects them from competition and backstops them in times of crisis.
In return, Canadians put their trust in financial institutions and these financial institutions are supposed to treat investors/consumers fairly, honestly and in good faith.
They breach this trust by hard selling financial products that are in their best interests, not yours. These products will take 40-50% (or more) of your investment returns over the next 25 years. Canadians retiring with inadequate savings will precipitate a retirement crisis for many Canadians and for governments.

The financial industry is extremely powerful and influential. In addition to the resources of individual firms, they fund lobby organizations to the tune of $10M or $100M per year. Ordinary Canadians' influence on the government is dwarfed by that of the financial industry.

FAIR Canada is the only professional national investor rights organization advocating for ordinary Canadians and needs your support. How can you help?
Help us reach more people! Send this newsletter to 3 contacts and ask them to subscribe (and ask them to send it to 3 more contacts, etc.)

Make a donation to FAIR Canada to help us advocate for better financial outcomes for ordinary Canadians. You can donate here

For lawyers, registered persons and listed companies:

In class actions, consider FAIR Canada as a potential recipient for awards or cy-pres distributions,

In regulatory proceedings settlements involving a voluntary payment, consider suggesting to the regulator that the payment be made to FAIR Canada.
Such contributions will serve the interests of retail investors and Canadian consumers of financial products and services. And it may soften the reputational damage of a civil action or disciplinary action.

Thank you for your support!

Ermanno Pascutto
Executive Director


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Written by David Milstead and originally published in the Globe and Mail.


The primary advocacy group for Canadian investors is losing money, looking for an executive director - and struggling to survive.

"We're in a bit of an existential crisis," said Ermanno Pascutto, the founder and, now, interim executive director of the Canadian Foundation for the Advancement of Investor Rights, known as FAIR Canada. The group was started in 2008 to provide a voice for individual investors that would complement, and sometimes oppose, the investment industry's views when securities regulators developed new rules and regulations.

In recent months, FAIR Canada has submitted comments or participated in roundtables on mutual-fund sales practices, the client-financial-adviser relationship, and a proposed code of conduct for banks selling products to senior citizens.

FAIR Canada has survived in large part in recent years on a $2-million gift from Stephen Jarislowsky, the founder of investment firm Jarislowsky Fraser Ltd., and an additional $2-million contribution from the Ontario Securities Commission, which used money collected in settlements and from fines.

To read the full article on our website click here.
To read the original article on the Globe and Mail website click here.

T-REX Scores: Mutual Fund Investors Need to Know the Score!
Mutual Funds with 2% Management Expense Ratio (MER) take 40-50% of your investment return over 25 years!

How much of your mutual fund returns are lost because of investment fees?

Most investment fees are quoted as a percentage of the amount invested. So, a fund with 2% fees will cost you 2% of your total investment annually. This method can be misleading.

When you pay investment fees, you lose twice. You lose the fee and you lose some of your compounding magic. Annual fee quotations give no indication that your 'compounding loss' accelerates as the years pass.

How do you measure the impact of fees on your investments?

It's simple: calculate your T-Rex score!

T-Rex Score stands for Total Efficiency Return Index Score. It allows you to calculate how much of your total investment returns on your underlying investments translate into returns for you. The higher your T-Rex Score, the more of your investment return you get to keep. To figure out the T-Rex Score of your investments you should know: your investment amount, projected average annual return on underlying investments before fees, annual fees, and projected life of investment (time horizon).

Read the full excerpt on T-Rex Scores here.

You can input that information on Larry Bates' website to find out your T-Rex Score:

Vanisha Sukdeo has joined FAIR Canada as Director of Policy Research
Executive Director Ermanno Pascutto is pleased to announce that Vanisha Sukdeo has joined FAIR Canada as the Director of Policy Research.

Vanisha was Called to the Bar in 2007 and is a Ph.D. Candidate at Osgoode Hall Law School. She taught at Osgoode for years as a Course Director including courses such as Business Associations and Legal Process. She completed her LL.M. at Osgoode and LL.B. at Queen's Law. Vanisha's first book was published in July 2018 and her second book is set for publication in July 2019. Vanisha has published articles on a wide range of topics from corporate law to labour & employment law.
Syndicated Mortgages
On May 9, 2019 FAIR Canada made a submission regarding the CSA Second Notice and Request for Comment relating to Syndicated Mortgages. FAIR Canada had commented on syndicated mortgages in June 2018 and wrote about some of our ongoing concerns in the May 2019 submission. We wrote about welcoming the transfer of jurisdiction in regard to regulation of syndicated mortgages from the FSCO to the OSC.

FAIR held that the addition of Form 45-106F18 was useful because it requires the addition of disclosure about the speculative nature of an investment in a syndicated mortgage. While this is an improvement, we echoed our concerns from our June 2018 submission that this risk disclosure does still not go far enough because many retail investors lack sufficient financial literacy to be proficient in financial matters associated with investments in syndicated mortgages. We re-emphasized in our submission that resources within the CSA and OSC should be allocated to encourage compliance and enforcing the rules applicable to syndicated mortgage investments once in place.
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Re: The perfect professional organized crime

Postby admin » Wed May 15, 2019 8:07 am

People who rob banks are prosecuted.
Banks who rob people...keep the money.

The UK is leading a Global initiative to bring transparency to hidden systems of professionals acting in concert to enrich themselves are the expense of the impoverishment of society.

The effects are now seen in almost every developed country in the world.

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In related, the following is from The Financial Times with a web link which is not operating currently, so the article is pasted below:

deregulation and cuts take their toll: Britain has more than 180,000 offenders linked to organised crime.

. . . a series of new threats, including the increasing prevalence of so-called “professional enablers” such as accountants, solicitors and financial services employees using their expertise to help organised crime gangs, as well as the growing problem of cryptocurrencies being used to launder money.

~Prof. Emeritus Prem Sikka

images-50.jpeg (9.1 KiB) Viewed 5683 times ... 846537acab

National Crime Agency
Organised crime offenders ‘twice size of the army’, says NCA
Agency chief seeks double budget to tackle ‘staggering’ scale of problem

Lynne Owens, NCA director, warned on the growing threat of organised crime © Getty

May 13, 2019 11:02 pm
by Helen Warrell in London
Britain has more than 180,000 offenders linked to organised crime, a population more than twice the size of the army, the National Crime Agency said on Tuesday.

The UK equivalent to the FBI estimated the country is home to 37,000 “active members” of organised crime gangs, as well as 144,000 Britons identified as viewing the most harmful child sexual abuse on the dark web. By comparison, there are just over 78,000 full-time soldiers in the army.

Lynne Owens, NCA director, revealed what she called the “staggering” scale of organised crime as she lobbied ministers for a doubling of the agency’s budget to combat the growing threat.

The NCA’s annual threat assessment estimated that organised crime currently costs Britain at least £37bn a year — or nearly £2,000 per family — and kills more people than terrorism, war and natural disasters combined.

It found that traditional organised crime gangs were fracturing in favour of smaller more “dynamic” groups run by younger, technology-savvy offenders.

These groups are engaged in multiple different offences, including drugs trafficking, fraud, money laundering, modern slavery and sexual exploitation, and some are providing the child pornography found on the dark web.

The NCA recorded 3.6m incidents of fraud in England and Wales in 2018, and while there was no official estimate for money laundering, the agency said it was a “realistic possibility” that the scale in the UK was “hundreds of billions of pounds” each year.

The agency identified a series of new threats, including the increasing prevalence of so-called “professional enablers” such as accountants, solicitors and financial services employees using their expertise to help organised crime gangs, as well as the growing problem of cryptocurrencies being used to launder money.

The police have struggled to adapt to these threats following a 20 per cent cut in central government funding since austerity measures were imposed almost a decade ago. The cost savings have put pressure on forces’ regional organised crime units, which have said they cannot plan long-term operations while their financing is in doubt.


NCA focuses on Knightsbridge’s unexplained wealth
Ms Owens argued that the NCA — which has an annual budget of £424m — would need funding closer to £1bn a year to tackle the problem of organised crime. “Serious and organised crime in the UK is chronic and corrosive, its scale is truly staggering,” she said.

“Enhancing our capabilities is critical to our national security. If we don’t, the whole of UK law enforcement, and therefore the public, will feel the consequences. Some will say we cannot afford to provide more investment, but I say we cannot afford not to.”

Ben Wallace, security minister, acknowledged that organised crime was a “fast-evolving and highly complex threat” to UK national security.

“As criminals’ use of technology evolves so must our response,” he said. “We continue to invest in the right capabilities and tools in law enforcement, across government and in partnership with the private sector.”

Rick Muir, director of the Police Foundation, a think-tank, said he believed the effort to tackle organised crime has struggled to secure funding compared to other policing areas such as counter terrorism because it does not have the same public profile.

“The challenge is that the public tend to favour visible policing and of course that’s important, but if you spend money on that then there’s less to use on these other growing threats,” said Mr Muir. “There are some real tensions here that need to be tackled.”

Philip Hammond committed an additional £160m to counterterror policing in the Budget last year. The chancellor has promised to look again at police funding in the government’s spending review due to be unveiled later this year.
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Re: The perfect professional organized crime

Postby admin » Sat May 11, 2019 7:40 pm



1. When people rob banks,…police and prosecutors ensure laws are enforced.

2. When banks unjustly enrich themselves at the expense of the country,…their own regulators, lobbyists and corporate lawyers ensure that laws are NOT enforced.

3. Bank robbers get away with thousands of dollars. Banks who rob society, get away with Billions.

4. Can you spot the bigger drain to society?

#Canada, #UK, #USA, #Australia #Etc

#OrganizedProfessionalCrime is #CrimePerfected
Billion $$ examples of professionals draining society at:

#BOT #BreachOfTrust by #Securities #Regulators
#WhiteCollarGangs and their many #ProfessionalHandmaids = a few million ppl, (give or take) who are taking far more than their fair share, by hook or by crook.

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Re: The perfect professional organized crime

Postby admin » Fri May 10, 2019 5:37 pm


Collusion among Financial Professionals?

Breach of the Public Trust by Investment Industry Regulators?
Regulators selling passes to “exempt” laws?
False Pretenses by non-registered “Advisors”?
Fraudulent Misrepresentation?

How your life savings is in the “perfectly organized" hands of all of the above.

Collusion between private financial interests and Provincial Securities Commissions appears systemic.

It allows false pretenses to dupe investors into giving their life savings to “investment professionals”, without being properly informed of the lack of proper registration of 96% of these commission sales agents.

A second example of Collusion can can be seen when Securities Commissions routinely (and secretly), “exempt” private financial interests from having to follow laws.

The laws in each Provincial Securities Act are intended to protect the public interest, and yet thousands of exemptions to these laws can be found buried where no investor will ever see them. Private interests use these hidden exemptions to take financial advantage of the public.

No investor is ever informed, even if they invest their life savings into an investment which has been granted a hushed-exemption to our laws.

As one industry expert said to me,
“it is the equivalent of purchasing your Deferred Prosecution Agreement from the Securities Commission, before you actually commit your intended financial crime”.

Stan Buell, the founder of the Small Investor Protection Association of Canada, said,
“this is the equivalent of learning that some people are allowed to purchase exemptions from our traffic laws, and it allows them to drive on public highways at speeds in excess of 150 miles per hour…just because they are in a hurry. All others on the road would be put at risk if people were able to buy their way around our laws.”

Finally, from a investment industry insider, who sat on regulatory committees, told me,
“I learned that the Securities Commissions are something the industry pays for, like one might pay for an insurance policy. The price paid to fund Securities Commissions is a small “insurance premium”, which financial giants pay to ensure that they never have to worry about facing criminal or serious repercussions, for acts against the public interest. They have bought their own private police force…and everything is kept in house.”

It must be noted that private financial interests fund 100% of the salaries and expenses of the Provincially Legislated Securities Commissions, and some of those salaries approach $700,000.00 and above. Private financial interests pay over $1/4 Billion dollars per year to fund just the top four out of thirteen Canadian Securities Commissions.

The top banks in Canada made profits of $45 Billion dollars in a recent year, and the "insurance premium” of paying $1/4 Billion to a few regulators appears to be money well invested.


In a related story, it was revealed that the The Financial Consumer Agency of Canada (FCAC) had recently shared with the banks (who also fund this agency) the results of their findings from a Parliamentary Finance Committee caused by several thousand people complaining about abusive or exploitive actions by Canada’s banks.

Screen Shot 2019-05-10 at 6.13.46 PM.png ... -1.5117035

The reports which were then shown to the public had been redacted and edited by the very banks who were under the scrutiny of the Parliamentary Committee of Finance….the collusion or influence appears to connect private financial interests with the top echelons in both Federal and Provincial Government.

As a result of this a series of complaint investigations have been requested with various Provincial Legislature Officials. Officials such as Ombudspersons, Public Interest Commissioners, Attorney General’s and so on.

Now, as each of these Legislative Officials have been asked to do, let us consider the public interest, and the amount of harm being done to Canadians, simply to benefit a group of private financial interests.


If you let your life savings fall into the hands of someone who can act “contrary to your financial interests”, easily HALF of your retirement could be gone without you ever knowing what happened…and your bank or investment dealer will be "richer than you think”. It is the perfect crime.

Collusion between private financial interests and your Provincial Securities commission also lets private financial interests purchase “passes" to be exempt from the law, without having to tell the public when they are doing so.

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click to zoom in on image

Those passes give private financial interests the ability to sell you products which have the public interest protections removed…

Between the power of the banks, and the subservient role of industry-paid regulators, including your provincial Securities Commission, you are the “product” in the investment industry equation, while the industry is busy telling that you are the customer.

The illusion of you being protected by your Provincial Securities Commission from these and other acts of sleight of hand, is one in which most investors will never even spot.

I hope you will inform and protect yourself, your family and the financial security, even if it means thinking and seeing outside the box to do so.

FACT: Up to 96% of so-called advisors in Canada are using false pretenses to pull off their registration category misrepresentation.

SOURCE: CBC National News 3 min lead story March 29, 2017

FACT: The advantage to the falsely represented financial professional is between 2% and 4% per year in added gain to themselves and the dealer they represent.

SOURCE: OSC Chair Maureen Jensen (“two to three percent a year) ... ment-funds
SOURCE: U of T Rotman School pension vs mutual fund study ( a 3.8% annual “Haircut”) ... yOTkw/edit

FACT: 2 percent in added costs, when compounded over 35 years would cut any investor’s future retirement security by 50%.

FACT: 3.8 percent added costs, when compounded over 35 years would cut any investor’s future retirement security by 72%


Public complaint has been registered in several provinces and files opened in two provincial Legislative Officer offices to date.

Finally, the definition of “Organized Crime”:
Criminal Code of Canada , which states a "criminal organization" means a group, however organized, that:

(a) is composed of three or more persons in or outside Canada; and,
(b) has as one of its main purposes or main activities the facilitation or commission of one or more serious offences, that, if committed, would likely result in the direct or indirect receipt of a material benefit, including a financial benefit, by the group or by any one of the persons who constitute the group.

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Larry Elford
Investment Malpractice Expert Witness
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Re: The perfect professional organized crime

Postby admin » Wed May 01, 2019 7:38 pm

From: Erica Johnson <>
Date: Wed, May 1, 2019 at 5:44 PM
Subject: Re: which CBC picture is accurate? what reason did Access to Information use to deny?


Both pics are accurate - the top pic is just the response from the banks. The Access office cited a provision to protect commercial interests. Don’t know exact section - I’m out of the office today!

On Wed, May 1, 2019 at 12:20 PM KDF wrote:
After the FCAC sent the big banks a draft copy of its report on aggressive sales tactics, they replied — every page was blacked out in the documents obtained under Access to Information laws. (CBC)


More than half the pages of a draft of the report obtained via Access to Information had words or entire sections redacted. (Andrew Lee/CBC)image.png
Erica Johnson
Senior Investigative Reporter
CBC News: Go Public
Twitter: @cbcErica
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Re: The perfect professional organized crime

Postby admin » Tue Apr 30, 2019 2:31 pm

In the news today are the names of SNC employees, executives behind thousands of dollars in illegal Liberal Party donations were revealed ... -1.5114537 SNC-Lavalin managed to avoid charges by signing what is known as a "Compliance Agreement" with the Commissioner of Canada Elections after promising not to break the law in the future. Yet here we sit today with scandal after scandal appearing in the news.

Not in the news is that Canadians are not protected by financial regulators, in an “SNC-like” manner. In fact regulators seem to be bending over backwards to help big businesses evade justice with such things as: Compliance Agreements, Deferred Prosecution Agreements, No Contest Settlements and Exemption Orders. The Investment Industry Regulator of Canada (IIROC) is busily proposing ways to minimize penalties for perpetrators with their: Minor Contravention Program and Early Resolution Offers. Securities Commissions are focusing their attention on "burden reduction" for the investment industry.

Here is one example to illustrate the size of the problem:

Mutual fund assets in Canada totaled $1.53 trillion at the end of March 2019. ... pdf/22258/
Yet just yesterday in the news it was reported that “More than nine in every 10 funds underperformed their respective benchmark over the 10-year period. ... scorecard/
Why do Canadians keep buying them? When they seek financial advice from someone they think is professional financial advisor with a duty to look after their best interests, they usually are just dealing with a commissioned salesperson. Guess what this salesperson funds!

When thousands of bank employees came forward to reveal scandalous behaviour they were engaing in to reach unrelenting sales quotas and keep their jobs the Financial Consumer Agency of Canad was tasked to look into this serious matter. CBC recently revealed collusion between the Big Banks, the Financial Consumer Agency of Canada (FCAC) and the Finance Department! ... -1.5091115

In 2007, a study by University of Toronto Rotman School of Business Pension analyst, Keith Ambactscheer, found that retail investors were suffering returns of 3.8% less than the returns that professionally advised investors received, a “haircut” of about $25 Billion dollars at a time when Canadians held $700 Million in funds.
Now it is 2019 and Canadians hold about $2 Trillion in funds, making it possible that the “haircut” to Canadian investors is considerably higher than the $25 billion found by the U of T in 2007. ... yOTkw/edit
Keith Ambachtsheer is Director Emeritus of the Rotman International Centre for Pension Management (ICPM)

In comparison:
it is estimated that organized crime costs Canadians $5 billion every year; that translates into $600 a year for a family of four. Source:

Here is the Billion Dollar Question: WHAT IF…collusion and professional “co-operation” between politicians, regulators, and the people they are supposed to regulate and protect the public from..., could be costing Canada multiples of the RCMP estimates of organized criminal activity?


The Criminal Code (467.1) definition is as follows: “Criminal organization” means a group, however organized that

(a) is composed of three or more persons in or outside of Canada; and (b) has as one of its main purposes or main activities the facilitation

or commission of one or more serious offences that, if committed,

would likely result in the direct or indirect receipt of a material benefit,

including a financial benefit, by the group or by any of the persons
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Re: The perfect professional organized crime

Postby admin » Tue Apr 30, 2019 8:13 am


At 1:20
"if you really do start a business model that says, my clients aren't my clients, they are really counter-parties that I can make money off shouldn't be surprised if you end up with a culture that is a greed culture that really doesn't do the right thing all the time…”

In a total time of about 3 min and 20 seconds, TD’s Ed Clark and Tony Robbins sum up the bait and switch that clients are subjected to at every major form, where the firm and the broker says “trust me I am your advisor”, while dishonestly hiding from clients the fact that they are mere salespersons and can (and do) treat their customers like a “counterparty" that they can make more money off of….by leading them astray.

Neil Weinberg, former Editor in Chief of American Banker Mag puts it into his own words in this OCT 18, 2013 article in American Banker Magazine:

“Financial Advisor Chicanery: Imagine a two-tiered health care system in which some doctors were legally obligated to do what's right for their patients and others, like snake-oil salesmen of yore, could recommend whatever treatments made them the most money, as long as they didn't kill patients outright.”

“Now imagine that the shysters did all they could to blend in with the real doctors.
That's effectively the type of system we have today among the people Americans count on to tell them how to invest their life's savings. Registered investment advisors must, by law, put clients' interests first. Many thousands of other "advisors" at places like Morgan Stanley, Merrill Lynch and smaller shops are held to a much lower "suitability" standard.”

“In essence, even though these people often refer to themselves as "financial advisors" or by some other comfort-inducing title, they're really glorified salesmen. Some do a great job serving their clients. Others don't. It's up to them. Under the law, as long as they avoid putting an 85-year-old widow into an exotic derivative with a 20-year lockup, they're bulletproof.”

“Few clients know this fiduciary-suitability gap exists. The suitability crowd has worked tirelessly to keep the standard low and the distinctions murky.
The cost to the public is incalculable but huge.” Full article is found here:

Also add Ed Waitzer quote:


Wall Street Journal
"...Most people do not realize that financial advisers (also known as financial planners, financial consultants, investment counselors, money managers, portfolio managers, wealth managers and other names) come in two flavours."


CFA Peter Benedek reviews "Is Your Advisor Deceiving You?"
"The professional who is willing to violate his own duty of loyalty and care to his clients is "placing an obstacle before the blind".


Ron Rhoades Asst. Professor, Program Chair, Financial Planning Program, Alfred State College, Alfred, NY;
"I believe that holding yourself out as a trusted advisor, and not accepting fiduciary status and its burdens and restraints upon conduct, is tantamount to fraud."


Make advisors work for investors, Financial Post
"Anything else is fraud, because the seller is delivering a service different from what the consumer thinks he or she is buying. "

Edward Waitzer article, Financial Post · Tuesday, Feb. 15, 2011) (Mr. Waitzer is a Bay Street Lawyer and former Securities Commission chair, and this quote ( by another person) appeared in his article.


Jul 5, 2012 INVESTING Wall Street Journal
Should You Go to an Adviser or an Advisor?

Associated Press The New York Stock Exchange
Long ago, investors bought stocks from "customer's men," who then became "registered representatives," who in turn morphed into "investment adviser representatives." Financial planners, meanwhile, became "financial advisers" and even "wealth managers."
Much like garbagemen rechristening themselves "sanitation engineers," the folks who flog investments are tweaking their titles to make what they do seem fancier and more impressive than it is.

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Re: The perfect professional organized crime

Postby admin » Mon Apr 29, 2019 9:15 pm

NEWS RELEASE – April 29, 2019
A Voice for Small Investors Seeking Truth and Justice

On behalf of all Canadians, the Small Investor Protection Association (SIPA) is renewing its call on our Government
· To immediately launch a Public Commission of Inquiry into financial services and investments, and the Financial Consumer Agency of Canada (FCAC)

· To establish an independent National Investor Protection Authority with the sole mandate to protect the Canadian public.
In light of CBC’s latest report revealing collusion between the FCAC, the Big Banks and the Finance Department: ... -1.5091115
An independent public inquiry is necessary to get to the truth. The public’s voices need to be heard and not just the industry and its captured regulators. It is time to review the FCAC as well as the banks.

There appears to be a far too 'cozy' relationship between the banking industry, the FCAC and the Finance Department. The public cannot rely on the FCAC to regulate, or the Finance Department to allow for an independent review of the system, and its regulation.
The FCAC sent early versions of its investigation report to the Finance Department and the big banks with resulting edits occurring to make the report more favourable to the big banks.

Thanks to media, the bigger contextual picture is finally emerging. These revelations, along with the SNC Lavalin affair and the Ontario Finance Minister’s intervention regarding the “independent regulator” Ontario Securities Commission action relative to mutual fund fees, bring the word TRUST into a highly capitalized focus. Will we ever get the objective truth and how much more is being tainted by undue influence?

Canadians are losing their savings due to systemic fraud and wrongdoing by a financial services industry that does not put clients’ best interests first, disregarding laws or rules and regulations.
It has been possible to defraud tens of thousands of clients for up to a decade as indicated by recent No Contest Settlements by paying fines to avoid admitting responsibility and litigation. Where were the regulators?

It is essential that Government acts:
· to revise Statutes to ensure that all firms and individuals offering financial advice are held to a fiduciary standard regardless of their titles.
· to ensure those tasked with over-seeing industry conduct are impartial, willing and capable of effectively sanctioning those who persist in unfairly harvesting Canadians savings. They must levy appropriate financial fines and incarceration when warranted.
· to ensure victims are paid restitution when warranted without having to turn to costly civil litigation.
· to create an independent National Investor Protection Authority with the requisite authority to properly protect Canadians from fraud and wrongdoing by the financial services industry.
With so many highly paid regulators across Canada tasked with consumer protection mandates, the question arises why is it left to the media to break these stories? The implications here for Canadians are enormous. Given the potential extent of continuing financial harm to Canadians, it is essential that our Government takes positive action without undue delay. It must not be Caveat Emptor in a relationship that is based solidly on trust. Canadians are entrusting their hard-earned money, savings and futures with what should be trusted institutions and individuals.
SIPA – website: – e-mail:

A Voice for Small Investors Seeking Truth and Justice
About SIPA: The Small Investor Protection Association (SIPA) was incorporated (Ontario corporation number 1327366) as a national non-profit organization at the end of January, 1999. SIPA is a voice for small investors and advocates for the interests of investors.
SOURCE: Small Investor Protection Association
For further information:
Stan I. Buell, President, Small Investor Protection Association email: or
tel: 902-213-3124
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Re: The perfect professional organized crime

Postby admin » Mon Apr 29, 2019 3:20 pm

SIPA proposed a National Investor Protection Agency as far back as 2004 but Government has failed to respond. Studies, Reports, Conferences and Requests for Comments have not led anywhere.

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Recent revelations by the media indicate the Financial Consumer Agency of Canada is colluding with the Big Banks and the Finance Department to deceive the Canadian Public rather than reveal the truth: ... -1.5091115

SIPA will issue a Press Release later today to publicly ask the Government of Canada to establish an Independent National Investor Protection Authority that is not compromised by industry to ensure the welfare of Canadian citizens.

The Press Release will be available on our website
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Re: To unravel the perfect crime...

Postby admin » Sat Apr 27, 2019 3:44 pm

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Blog article by Peter Sommer: (written in 2017 and he was years ahead of the rest of us in his understanding)

When things go wrong, they can go so wrong – especially when there is collusion

November 28, 2017

Not many people have had the “fortunate” opportunity to get sued by a company that they had no contractual relationship with, were never served and then had a default judgment ruled against them which caused numerous bank accounts to be garnisheed 7 years ago which are still garnished to this day. This became the catalyst to 5 more law suits that were filed because of a malicious situation created by a vindictive plaintiff.

I would not wish this on my worst enemy but this is exactly what happened to me and is still ongoing. This is not the ideal way to learn about the wrongs of our legal system that no longer works for the average person as stated by our own Chief Justice. This also taught me about our banking system and the role that the government should be playing but they totally abuse this duty. Seeing I lost everything I ever owned because of this, I have had hours upon hours and years upon years to delve into and research the flagrant abuse of power by those who control our legal system, our banking system and our government who are without doubt all in collusion with each other.

In Canada we have a 2 tier legal system one for the rich and powerful and one for everybody else.
The one for the masses is sole destroying, time wasting, confusing, biased, unfair and far too expensive, hence the dramatic increase in Self Represented Litigants (SRLs) we see filling our courts today at all levels. This legal system will never change unless the government gets involved in changing this excuse of a system by firstly making sure that SRLs do not have to face the abuse of lawyers and judges alike and then fix everything else that is so wrong. I have learnt over the past 7 years that the government has no intention of making much needed change because in some nefarious way it suits them not to.

The above case forced me into a banking problem which gave me the opportunity to see the very worst of our banking system as well.
The CBC discovered that banks are using unethical sales practices to sell products that customers do not want or need. Even though thousands of customers and employees have come forward agreeing that this is happening, the banks and the government vehemently disagree. Would you expect anything different seeing they are in collusion with each other? The banks don’t give a damn about their customers, they are just a means to a greedy end while making absurd profits at the expense of their customers. The banks will put up one roadblock after another in order to avoid responding to customer’s complaints and problems, hoping that they might die first before they have to deal with the problem.

You need to wonder who controls who, does the government control the banks or do the banks control the government?
It does not take much research to see and understand that it is the banks that control the government. One does not need to look much further then what is currently going on with our Finance Minister, Justin Trudeau’s friends and the many other politicians regarding the offshore banking scandals. One just has to look at how the chair of The House of Commons Finance Committee, who is known to defend the privileged, handled the KPMG – Isle of Man off shore banking affair by doing absolutely nothing, as opposed to their US counterparts who put executives of KPMG in jail and fines were levied to the tune of a half a billion dollars for doing the exact same thing in the US. Why did Canada do nothing? Who were they trying to protect and cover up for?

This is the same House of Commons Finance Committee that is currently looking into the CBC’s report on the unethical sales practises of Canadian banks which will once again probably achieve absolutely nothing other than show that the government is going through the motions.

(Investor advocate comment April/2019 “this prediction came true...Committee did nothing, FCAC allowed banks to redact the report before it was released to the public)

We are already starting to hear reports like, “So far, there has been no evidence of systemic misconduct at the major banks” – 22/8/17. The Finance Minister is resisting making key changes, claiming that the, “bank watchdog agencies are fine as is.” No, Mr. Finance Minister, they are not close to being “fine as is.” Again we just have to look at the news media everyday to see what this same Finance Minister, has done, is doing and will continue to do unless a completely independent bank watchdog is put in place to stop the banks and the government’s shenanigans. (Nov 23, 2017 – Morneau sides with shareholders, not Canadian Workers in Sears closing).

“Effective regulation is required to ensure that banks do not abuse the interests of their customers in the pursuit of profit.
Unfortunately, those mandated with protecting the Canadian public have repeatedly failed to do so. Consumer protection in Canada suffers egregious problems that can and must be fixed. When it comes to regulatory power, Canada is a lightweight and processes for dispute resolution are fundamentally flawed.” Canadian Association for Retired Persons (CARP)

This behaviour of the banks, the legal system and the government do not seem to concern most citizens as long as it does not affect them directly.
This is because they only get to see part of the big picture on rare occasions. Things are very different when you get exposed to all of this at one time because you get a front row seat in seeing the corruption that exists and how the general public suffers while senior executives and the “higher ups” get away with “murder.” Listen to what Elizabeth Warren, a US Senator, had to say when she hit the nail on the head when speaking about the wrongs of the US legal and banking systems. Unfortunately this is exactly how it is in Canada as well, if not worse. Listen to her speech here.

The problems with our banking system

Corporate America places their personal agenda for greed ahead of its customers, all the while presenting a public façade of social, community responsibility and awareness, while the customer is greeted by silence, avoidance, indifference if not open hostility!

Banking and dishonesty go hand in hand. Banking culture is likely to fuel bad traits such as greed and dishonesty.
Accusations that the world of banking is corrupt are common, but now scientists have actually proven that banking breeds dishonesty. Read Here: is cheating a part of banking culture

Shame on you, TD Bank, for your shallowness, your insensitivity, your hypocrisy and most substantially, your greed!

Screen Shot 2019-04-27 at 4.48.30 PM.png

As Ed Clark past President and CEO of TD Bank said after he retired, “if you start a business model that says, my clients aren’t my clients, they are really counter-parties that I can make money off of….you shouldn’t be surprised if you end up with a culture that is a greed culture that really doesn’t do the right thing all the time…” To listen to this conversation click here:

The solution is relatively simple if those in power really wanted to look after the people first before looking after themselves. It is basic human decency to NOT be abused by persons who are in positions of trust or authority.
A proper complaints process has to be set up and be administered by a completely independent group of people without ties to the government or the banks. Their findings must be enforceable and they must have the power to fine the banks for improper and unjust enrichment, as they have in England through The Financial Conduct Authority (FCA).

The problems with our legal system

After attending the (SRL) Awareness Day at Osgoode Hall Law School within the past month, I was shocked to see what damage our very broken legal system has done to regular people and what it has cost all of them in time, money, quality of life, health issues and much more.
Something has to be done about this NOW, not when some politician decides that maybe they should start looking at the issue more seriously.
“Justice degrades with delay. The parties’ position of personal safety may be compromised and the damage may be irreparable. People whose legal issues are not resolved face ongoing difficulties. Problems spread to other areas of their lives, at significant individual and social cost.” – Canadian Bar Assoc. “Justice delayed is justice denied.”

When this is understood by all of those who govern, we will finally be making progress in some way to getting Access To Justice (A2J) for the masses because the above quote is exactly what happened to all of those I have met and spoken to including myself.

Once a litigant finally gets to court, they have to hope that they will have a competent judge who shows no bias, shows some courtesy and respect to those they judge and will make as few mistakes as possible. Unfortunately I have seen way too many judges who are incompetent and make far too many mistakes while being downright rude. Seeing judges come with outrageous privileges, they are almost immune from all forms of action.
“Judges have judicial immunity and bear no liability for their judicial errors”- Lawyer Alan Shanoff. One just has to look at how many judges have ever been fired, they are conspicuous by their absence.

At the same time the governing bodies like the Law Society of Upper Canada (LSUC) who are supposed to protect the public from overzealous, unethical, money driven lawyers who are often, “Juggling many cases, doing little work on each while churning the file for billable hours can be a best practice for generating revenue for a law firm.” – Canadian Justice Review Board (CJRB)
. The LSUC must protect the public as per their mandate instead of protecting the lawyers as I have now witnessed twice in my own cases. If you complain about a lawyer, it can take 11 months plus to get an assessment hearing and over a year to get a response from the LSUC. What is worse, is that the LSUC is immune from lawsuits by virtue of s.9 of the Law Society Act?

The same applies when it comes to protecting the public from unscrupulous judges by the Canadian

Judicial Council (CJC) and the Ontario Judicial Council (OJC).They have to stop showing bias in favour of their own instead of making the public their scapegoats, as I have witnessed as well.

It is of no use to the public to hear from the most senior politicians, minister and others as I have: “thank you for writing and I am sorry to hear this” or “it is not uncommon to hear this” or “I apologize for this happening to you” or “I appreciate you taking the time to share your experiences with the justice system” or “my ministry always welcomes input from the public regarding ways to improve our justice system” or “I sympathize with the situation you describe and realize that this has been distressing for you.” Well, if these people are so apologetic, why the hell are they not doing something about it?

This is just pure BS and lip service, admitting that there is a problem but doing nothing to solve it. There is absolutely no reason if there is the will and desire to make change that it cannot be done. This might involve stepping over those who resist change and who might become collateral damage in the process but that is just too bad. If we can put man on the moon, we surely can make the lives of Canadian citizens a lot better, should they land up with a legal problem in this litigious society. “Canadians face 35 million legal problems in any 3 year period” – Action Committee Can. So as you can see, this is a major problem, we need to see real and serious action by those in charge to make these horrendous problems and issues go away now and not in years to come.

When judges, lawyers and their relative associations become accountable to the public and are regulated by a completely competent, independent body that can enforce the rules and penalize those who are guilty, only then will we see real change and A2J
. Because at this time, “Who pays when judges screw up?”

Below are 43 of the 72 people I have written to, some more than once, about the above matters. Not one of them has had the common decency or the courtesy to respond.
Silence is the norm because those who have something to say about these matters will stay silent for fear of reprisal by their peers. They all know that all of the above is badly broken but they also know that there is no benefit, financially or otherwise for them to make these changes. They all seem to be one big happy family. Those left off the list did respond, such as Jody-Wilson-Raybould – Justice Minister and Attorney General of Canada, Thomas Cromwell Retired Supreme Court Justice and a very few others.

From the Federal Government

Justin Trudeau – Prime Minister

Beverley McLachlin – Chief Justice

Bill Morneau – Minister of Finance

Jessica Prince – Senior Policy Advisor for Justice Canada.

From the Ontario Government

Yasir Naqvi – Attorney General of Ontario

Charles Sousa – Minister of Finance Ontario

From the Legal World

The Law Society of Upper Canada (LSUC) – various people

Canadian Judicial Council (CJC) Ottawa

Ontario Judicial Council (OJC)

From Banking Associations and Watchdogs

Terry Campbell – President Canadian Bankers Association

Darren Hannah, Vice-President, Canadian Banking Association

Jeremy Rudin – Superintendent of Banking

Lucie Tedesco – Commissioner Financial Consumer Agency of Canada (FCAC)

Brigitte Goulard – Deputy Commissioner FCAC

Wayne Easter – Chairman of the House of Commons Finance Committee

Pierre-Luc Dusseault, NDP MP initially proposed hearings into the practices of Canada’s big banks

Dan Albas – Conservative MP part of bank hearing

The Banking Ombudsman – ADRBO

From TD Bank

Edmund Clark – Past President and CEO TD Bank

Bharat Masrani – CEO TD Bank

Daria Hill – Media Relations, Corporate & Public Affairs TD Bank

Brian Levitt – Chairman of the board TD Bank

Norie Campbell – currently Group Head and Chief General Counsel, TD Bank Group

Colleen Johnston – Group Head Marketing and Corporate & Public Affairs TD Bank Group, retiring 2018

Melissa Tzimas – Manager Customer Experience TD Bank

Tim Hockley – Group Head Canadian Banking TD Bank (now TD Ameritrade)

Ellen Patterson – currently Executive Vice President and General Counsel, TD Bank Group

Michael Rhodes – Executive Vice President, TD Bank Group and Head of Consumer Banking, TD Bank US,

Leo Salom – currently Executive Vice President, Wealth Management, TD Bank Group

Alison Ford – Media Relations, Corporate & Public Affairs,

Mohammed Nakhooda – Media Relations, TD Bank Group

Gillian Manning – Head of Investor Relations

Riaz Ahmed – Group Head and Chief Financial Officer, TD Bank Group

Greg Braca – currently President and CEO, TD Bank, America’s Most Convenient Bank,

Mark Chauvin – Group Head and Chief Risk Officer

Ajai Bambawale – will become Group Head and Chief Risk Officer, TD Bank Group, February 1, 2018

Teri Currie – Group Head, Canadian Personal Banking, TD Bank Group

Bob Dorrance – Group Head, Wholesale Banking, TD Bank Group, CEO & President, TD Securities

Paul Douglas – Currently Executive Vice President, Canadian Business Banking,

Frank McKenna – Deputy Chair, TD Bank Group

Legal Department – TD Bank, TD Ombudsman’s Office

Some examples of recent abuse by TD Bank

October 10, 2017, Bal Brach, CBC News reported more cover ups and refusal by TD to do the right thing.

“TD Bank customer frustrated with fraud investigation leaving him owing thousands”
“Three TD Canada Trust bank customers who claim they were the victims of fraudulent credit card and debit card transactions are accusing the bank of denying their claims without a thorough investigation”

“TD Canada Trust offered Mr. X a “one-time goodwill” gesture in the form of $2,569.68 but Mr. X declined, arguing that more than $5,000 went missing from his account. (CBC News)”

“The bank refused an interview with CBC News, but in a statement said “TD’s fraud investigations team thoroughly reviews all reported customer fraud claims in a fair, equitable and transparent manner.”- Who do they think they are kidding? “They did the minimum criteria that they had to prove to not pay me the claim and then just walked away” Mr. X said. “I think it’s a little insulting to get that offer, to be honest.”

A second case reported on the same day states,
“When CBC News inquired about this case, the customer was contacted by the bank within days and was told she would not be responsible for the charges if she agreed to a settlement which included not discussing her case publicly”
– why?

TD did the same to me twice. I have never yet to this day got a response from TD as to why they made me the 2 insulting offers which in effect was really a bribe. This seems to be standard procedure for TD. What is TD scared off by going public? Is it their reputation or are they more concerned about making less profit?

After living through this nightmare with the banks and the problems caused, the following animated video depicts

EXACTLY how our banking system works which is condoned by the legal system and government Watch here.

Thanks for reading,

Peter Sommer
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Location: Canada

Re: To unravel the perfect crime...

Postby admin » Tue Apr 16, 2019 8:06 pm

Peddling Influence

What if the OSC is the provincial government equivalent of SNC....?

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With news coming out of late that Ontario is going to set the stage for "new rules” (meaning lower standards:) for persons who give financial advice, I ran across this today, and thought I would share it:

Sent to me from an investment industry expert who is deeply concerned about the watering-down of public protections:

"Yes they are siblings!"
Victor Fedeli was born in North Bay on August 8, 1956. He is married to Patty (Kelly), another North Bay native. His mother Lena still lives in North Bay. His brother Peter, wife Elizabeth, and their daughter Maggie also make North Bay their home.His sister Teresa and her family live in Montreal.

The Minister of Finance in Ontario has a brother who is a Financial Advisor with CIBC.
From a published online profile of Peter Fideli:
Peter Fedeli
Titles & Designations
Investment Advisor
Bachelor of Commerce
Master of Business Administration
Canadian Investment Manager


The problem with this is that Peter Fedeli, who claims to be an Investment advisor with CIBC, is only registered in the category of a “Dealing Representative” which is the registration of a salesperson (a representative for CIBC) and not an “Advising Representative” (with a higher duty of care for investors)

Screen Shot 2019-04-16 at 8.49.47 PM.png

click on image to zoom in, click on “back” button to go back

The key difference of course is that selling products is NOT giving impartial advice, and giving impartial advice is NOT selling products....and never the twain shall meet...however CIBC and Peter Fedeli would prefer to not inform investors of this particular aspect of the business.

Notwithstanding that it is not allowed under Ontario Securities Law, to misrepresent ones license or registration category (much less under principles of honesty and good faith)

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click on image to zoom in, click on “back” button to go back

The problem is that these investment sales agents, legally registered as “Dealing representatives” (agents who represent the dealer) can take in more money from clients if they give clients the impression (mistakenly or otherwise) that clients are dealing with a trusted, regulated, (perhaps fiduciary quality) financial professional. Clients hope and expect that someone like this would treat them like a “Doctor” treats their patient's, and not like a commission sales agent.

Commission investment sales agents often hide their true credentials behind false titles since it makes more money for the banks...or rather it makes getting trust and money from the public easier, even if it a false representation, and even if it is against the law. This is just plain wrong and the word fraud comes to mind, but when was the last time you ever heard or saw of a bank being held to the public.

Vic Fedeli is working very hard to change things so that people (like his brother) can further confuse the public, with new government proposals coming soon, on credentials so that people like his brother can have their cake and eat it too. They will soon announce that all persons formerly known as “dealing representatives” (which was the “salesperson” category until the word “Salesperson” was deleted in Sept 2009 by the CSA)...will be granted a new, professional sounding name/title, which will allow them to further confuse the public into giving their money and trust away to people who pretend to have a professional duty to protect the client...when nothing will be further from the truth.

This crony, self-dealing game of government minsters being handmaidens to financial corporations is getting more comedic every day.

Screen Shot 2019-04-16 at 9.03.03 PM.png

CBC Comedy writers cover the laughing-stock that foreshadow what we can expect more of...from Finance Minister Fedeli in 1 min 40 seconds. See how it looks today (before Mr. Fedeli enshrines the fraud into law...) in under 2 minutes at the YouTube link above. What a gift to comedy writers of the world. Have fun and enjoy your soon to be crafted Ontario financial...advisoir’s?
Screen Shot 2019-04-16 at 9.03.03 PM.png
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Re: To unravel the perfect crime...

Postby admin » Mon Apr 15, 2019 3:24 pm ... -1.4357154

Critics question settlement program for banks that overcharged fees

Some say the process isn’t transparent and doesn’t act as enough of a deterrent
Yvonne Colbert · CBC News · Posted: Oct 18, 2017 6:00 AM AT | Last Updated: October 19, 2017

Screen Shot 2019-04-15 at 4.16.00 PM.png

Questions are being raised about allowing settlements with the banks and other investment firms that overcharged Canadians $354M (CBC)

As investors await refunds from banks and other financial institutions for hundreds of millions of dollars in excess fees and unpaid interest, critics are questioning the process around how the unwarranted charges were dealt with by their regulator.

Scotiabank, Royal, TD, CIBC and BMO, along with others, have all come forward to disclose they accumulated a total of $354 million in excess fees or unpaid interest on mutual funds and other investments.

TD had been charging the excess fees for 14 years, CIBC for 10 years, while others had been charging them for six to eight years. The largest amount of investor compensation came from CI Investments, which failed to pay $156 million in interest on some clients' mutual funds over a six-year period.

Canada's big banks admit they overcharged customers — what went wrong?

Financial institutions must issue refunds within two years of their settlement date. That deadline has already passed for some, while the process is ongoing for others.

Canadians learned of the unwarranted fees from the Ontario Securities Commission (OSC) after secret negotiations between the financial institutions and the OSC, the body that regulates them. The disclosures are the result of something called a no-contest settlement program introduced by the OSC in 2014.

No admission of guilt required

Those settlements mean none of the offenders had to admit wrongdoing or guilt; they simply agreed to fix the problem, pay back their customers and pay a fine.

It's a program the OSC's director of enforcement, Jeff Kehoe, calls "a huge success." But some are raising questions about it.

Stan Buell, president of the Small Investor Protection Association (SIPA), says these settlements are one more reason why his non-profit group, created to educate and advocate for consumers, feels there should be a public inquiry into the investment industry.

Stan Buell, president of the Small Investor Protection Association, says there should be a public inquiry into the investment industry.
"These no-contest settlements are absolving the industry of the responsibilities for the last 10 years,"
he said.

"I mean, how can regulators claim that they protect investors when these companies have been doing this for 10 years undetected?"
Buell asks, calling the settlements just a part of the "deception" of the investment industry.


'An easy out'

A former director of the OSC is also speaking out about the secret agreements.

"I haven't been a fan of [no-contest settlements] because I think it provides an easy out for people who have been involved in misconduct,"
Michael Watson, a former director of enforcement with the OSC, told CBC News. Watson is now a special adviser to the RCMP's integrated market enforcement program.

I think it provides an easy out for people who have been involved in misconduct.
- Michael Watson, former director of enforcement with the OSC
Watson said he has trouble seeing an appropriate resolution to such cases when no one is required to admit wrongdoing.

"I guess I was always concerned that if people were not prepared to stand up and admit they'd done something wrong that they might not see the harm in doing again,"
he said.

An adequate deterrent?

Lawyer Anita Anand, the J.R. Kimber chair in investor protection and corporate governance at the University of Toronto faculty of law, worries these agreements won't stop future wrongdoing.

"That is positive for the financial institution [but] it's not so positive for deterrence in terms of sending a message to the market that a certain type of behavior is simply not going to be permitted in Canada's capital markets,"
Anand said. "The law has to be seen to be fair and it is this perception of fairness that is my main worry."

New investment rules fail to reveal some hidden fees
Anand, like Watson, can see the benefits of the program in that the case doesn't drag on for years and investors do get refunds. Watson calls it a trade-off, adding it depends on what your objective is.

He points out the number of businesses coming forward to acknowledge overcharging clients speaks to the benefit of the program, since these are cases "that probably wouldn't have otherwise" become public.

Transparency issues

Anand wonders, though, whether the process is transparent enough and should be reviewed.

"The process occurs behind closed doors," she said. "It's not a trial. It's not a hearing. It's not a case in which you're going to have the public have access to proceedings in the way that you would with a trial or hearing. So there's less information coming forward on a daily basis about what is the process and the basis on which this no-contest settlement was reached."

Scotiabank, Royal, TD, CIBC and BMO, along with others, have all disclosed that they charged a total of $354 million in excess fees on mutual funds and other investments. (Kevin Frayer/Canadian Press)
Anand acknowledges the OSC does release no-contest settlement agreements, but not all documents leading to the agreements are made public "so again there is a transparency issue or at least a potential transparency issue there."

She said the U.S. Securities and Exchange Commission's decision to pull back from using the settlements indicates "there are valid issues to be discussed here relating to transparency and legitimacy and ultimately the public's interest."

Kehoe says the OSC uses such agreements in limited circumstances and argues they do serve to prevent future problems, adding the settlements were introduced as a way of "getting the case done in a timely way, getting investor harm remediated and fixing the problems."

Royal Bank to pay back $22M in investment fees it overcharged

He said a no-contest settlement has all the hallmarks of every other hearing they do.

"A fine is a stigma and a deterrence no matter how you label it."

Just about every major investment firm has entered into a no-contest settlement.

Financial institutions that have compensated Canadians as a result of no-settlement agreements. (CBC)
What should investors do?

It is now up to the financial institutions to identify affected clients, determine how much each is owed, make "reasonable efforts" to contact those who have been overcharged and reimburse them. There is no established method for those clients to determine on their own whether they are owed money or how much. Investors with questions should contact their bank or investment firm.

Anand said there is no strong reason to believe the amounts that have been calculated are incorrect.

Manulife in settlement deal with OSC after clients wrongly paid excess fees
"They likely are [correct] but the process itself is somewhat disconcerting," she said, adding it doesn't inspire public confidence "given that we have so very little information about the process by which the so-called compensation plans are calculated."

Anand's advice to investors is to become more knowledgeable about their investments and Canada's capital markets. She said while financial literacy is important, it doesn't relieve regulators of their responsibility to protect investors and ensure a fair market.
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Re: To unravel the perfect crime...

Postby admin » Sun Apr 14, 2019 6:40 pm

Re: Securities law "exemptions". A license to steal?
Postby admin » 31 Jan 2019 03:01 pm

510 Exemptions granted by the OSC in 2017 and 410 in 2018 according to OSC staff

(Information as to number of public notices issued, or legislative required tests and documented procedures regarding protection of the public interest when granting exemptions, will be sought, and previously asked questions in this regard have not provided answers. In addition it will be asked how many exemption applications were received and rejected/accepted, numbers for each of these three categories)

Date: January 25, 2019 at 4:36:08 PM EST
To: (Name removed)
Subject: Re: File #20190121-25937 - Request for information

Dear (Name removed)

Thank you for your follow-up email about the number of exemptions granted by the OSC.

The chart below shows information for the previous two fiscal years, shown by OSC branch. The chart shows exemptions granted, with the exception of the Corporate Finance branch information which was for all applications. In the chart below, IFSP is the Investment Funds and Structured Products branch, and CRR is the Compliance and Registrant Regulation branch. More detailed information about each of these branches is available on the OSC website.

I understand your comment about the work required by OSC staff to review applications for exemptive relief, but this is a normal part of our regulatory role. The rules governing the OSC’s activities are designed to help fulfil our statutory purposes. However, the rules themselves also typically provide that exemptive relief may be requested, and, so, contemplate that the rules may not be practicable in all situations.

Just for some additional background on the process, as a general rule, applications for exemptive relief are expected to be made in writing and to set out the facts in the matter, the reasons for the application, and all relevant considerations and circumstances, as well as provide any supporting documents. Applications are reviewed on a case by case basis and the determination depends on the facts. The process often involves detailed follow-up discussions with applicants, and exemptive relief, if eventually granted, may be different from the original request and may include terms and conditions to address specific concerns, including appropriate investor protection. The Act and the rules are made with the statutory purposes in mind, as are decisions about potential exemptive relief.


David DoRego
Lead Inquiries Officer
Ontario Securities Commission

The information in this e-mail should be taken as a guide. The content is not intended to provide investment, financial accounting, legal, tax or other professional advice and should not be relied upon or regarded as a substitute for such advice. We recommend that you seek advice from a qualified professional adviser before acting on the information or content appearing in this e-mail or any information or content on a web site to which a link has been provided.

From: (Name removed)
Subject: Re: File #20190121-25937 - Request for information
Date: January 23, 2019 11:56 AM

Yes Please send 2017 and 2018 information
As investor advocates we are interested in how much industry participants can deviate from written laws via exemptions.
This creates a burden and extra workload for OSC staff

(Name removed)

Sent from my iPad

On Jan 23, 2019, at 11:32 AM, <> wrote:


Dear (Name removed)
Thank you for your inquiry to the Ontario Securities Commission (OSC) about the volume of regulatory exemptions granted by the OSC in 2017 and 2018.

Staff prepared statistics for fiscal years 2017 and 2018, which would be current to March 31, 2018. If you think that information would be helpful to you, please let me know. If you wanted more current information, it would take longer to prepare.

It might also be helpful if you could let me know why you need the information, and if you have a particular concern that I can address.

In addition, some information about exemptions is available on the OSC website ( <> ), including copies of exemptive relief decisions. If you wanted to review these decisions on our website, open the tab for “Securities Law & instruments”, then open the sub-heading for “Orders, Rulings & Decisions.”

I look forward to hearing back from you.


David DoRego
Lead Inquiries Officer
Ontario Securities Commission <>

The information in this e-mail should be taken as a guide. The content is not intended to provide investment, financial accounting, legal, tax or other professional advice and should not be relied upon or regarded as a substitute for such advice. We recommend that you seek advice from a qualified professional adviser before acting on the information or content appearing in this e-mail or any information or content on a web site to which a link has been provided.

Screen Shot 2019-01-31 at 3.00.57 PM.png

click on image to enlarge

510 Exemptions granted by the OSC in 2017 and 410 in 2018

according to OSC staff

From:(Name removed)
To: <>
Subject: Request for information
Date: January 18, 2019 12:44 PM

Can you please tell me what the number of regulatory exemptions granted in 2017 and in 2018 by the OSC?

Thank you

(Name removed)
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Posts: 2884
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Posts: 3068
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Re: To unravel the perfect crime...

Postby admin » Sun Apr 14, 2019 9:57 am

Draft responses to general allegations provided in AB Public Interest Commissioner investigation request of April 14, 2019

1. Ignoring public protective principles, rules or laws which has the effect of enriching the industry, while doing financial injury to the public, to the government itself, and to our society overall.

a) Ignoring registration-category laws (representation) allows tens of thousands of commission sales-agents for the financial industry to misrepresent themselves to the public as if they were investment professionals who are registered and obligated to treat the public with a professional level duty of care, when such is not the case.

b) Alberta Securities Act Sec 100, requires the following, (see image below) which the ASC routinely (perhaps 100% of the time) ignores, resulting in no member of the Alberta investing public (retail investors) being fairly and honestly informed of the type of relationship they are trusting their life savings to.

c) The result is that millions of investors can be baited with a false “trusted professional advisor” promise, and then are surreptitiously switched to having the services of a commission sales agent...or a fee selling agent, one who legally represents the dealer interests...and not firstly the investor. (a "Dealing" Representative, as opposed to the implied promise of an "Advising" Representative)

d) “c” above allows billions of dollars to be harvested from unsuspecting investors who have had their confidence and their trust manipulated by these false representations.

e) A University of Toronto Pension study done in 2007, on one type of investment out of perhaps dozens, discovered that the different rates of return earned by retail investors, as opposed to institutional investors, whom receive the services of truly represented professional advisers, was a difference in return of 3.8% each year. Retail investors earned a return of 3.8% LESS, due to the clever ways the industry has to misrepresent retail investors, and then use industry sales-tactics to harvest too much of their future retirement security.

f) A “shortchanging” of just 2% of returns from (or costs added to) any investor, when compounded over a 35 year time horizon will cut the future value of the investor’s capital in HALF.

g) If retail investors have between $1 Trillion and $2 Trillion in mutual funds alone, this long term reduction in retirement capital available to retail investors could cause an unjust enrichment of the financial industry in amounts of hundreds of billions or dollars, and an accompanying “haircut” given to everyday Canadian investors of a similar amount...all with the clever use of ONE law, willfully and blindly ignored by Provincial Securities Commissions.

Screen Shot 2018-06-23 at 10.10.54 AM.png

2. Allowing laws to be “exempted” for industry participants. Hundreds of quiet permissions to skirt laws are issued or approved by Securities Commissions without any public notice about the removal of those public protective laws, or even a warning to investors who place their money into “investments” which are now exempt from the law. The public is never even informed when this occurs.

Bank-underwriting dumping laws, allows poor selling or defective product to be dumped into bank managed mutual funds, to take mistakes off of the bank's shoulders and put them into the portfolio's of the bank's mutual fund investors.

False “portfolio managers” are created by exempting the lawful requirements to call oneself a portfolio manager. The net result is that Albertans get a commission or fee sales agent, representing the revenue interests of their employer, whilst giving investors opposite and untrue assurances.

Exempting laws which prohibit the sale of unrated financial products, one example of which allowed unrated sub-prime mortgage investments to be "dumped" into private investors accounts, muicipalities like Hamilton ON ($90 Mil) City of Lethbridge ($32 Mil), PPSP (Judges Pension $1 billion) etc one of the largest single crimes in Canadian history…all so that one Securities Commission executive earned a promotion to a newer $600,000 position… ... aleant.htm

Screen Shot 2019-03-30 at 9.38.19 PM.png ... CtNFl6Aoeo

3. Evidence of refusal to interact with the public, preferring to refer the public to industry-paid self-regulatory bodies, which adds further conflicted layers and barriers to prevent fair and honest protection of the public interest.

a) Red carpet treatment exists for corporations seeking approvals to exempt laws, while members of the public are routinely rejected and shunted to industry trade bodies and/or self regulatory bodies whose interests are even more tightly aligned with the very industry that the public may be complaining about, or being abused by.

4. Reluctance and/or refusal to enforce certain Alberta Securities Act Legislation, even when the ASC is notified of violations which are deceiving or harming the public.

a) Written complaint of violation of laws, given to the ASC and followed up on, result in no action. ASC responses simply ceased without resolution. (indicative of an “unaccountability” problem with the public by the Alberta Securities Regulator, ASC)

5. Altering documents on ASC websites, adjusting explanatory terms and definitions for the public, and deletion or revision of historical records to the benefit industry participants, while significantly confusing information available to the public. 

a) changing salesperson registration category so the public are less able to understand the role (2009)

b) later altering the category definition of what the new term for “salesperson” actually means so that there can be more confusion and less clarity as to the redacted role. (Dec 2017?)

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6. Using industry-funded advertising campaigns, to cause the public to assume that the ASC is protecting Albertans, while the public is being given mis-leading information, or marketing puffery under the guise of public protective information.

a) ASC TV ads about Check first imply you should check registration….while clever hiding the fact that the registry check will NOT tell the public HOW they are registered nor WHAT it MEANS….due to #5 above (clever)

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Search April 10, 2019 of the Alberta Securities Commission web page found:

10,748 results for the search of the word “Exemptive”

10,748 results for the search of the word “Exemption”

18,153 results for the search of the word “Decision”

Nearly every ASC “Decision" is supported with this statement:

“Each of the Decision Makers is satisfied that the decision meets the test set out in the Legislation for the Decision Maker to make the decision.”
“The decision of the Decision Makers under the Legislation is that the Exemption Sought is granted.”

Written requests of other securities commissions to ask why no public members are allowed to have input on the granting of exemptions to Securities Act laws, were responded with the comment that
“there is no provision in the Act for input from the public”.

(John Stephenson? OSC, BOT 2004?)

The following thoughts and images are used as indicators (pointers) only, and not sources or factual conclusions:

To commit the perfect crime, all one needs do is... To arrange the lights, the ballet, the scenery and the rest of the players in his own way...

0]Screen Shot 2019-04-09 at 5.01.14 PM.png[/attachment]
Screen Shot 2019-04-09 at 5.01.14 PM.png
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Posts: 3068
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The perfect professional organized crime

Postby admin » Sun Apr 14, 2019 8:01 am

The easiest way to set the stage for perfect crimes, is to control all of the actors...

April 13, 2019

Ms. Marianne Ryan
Alberta Public Interest Commissioner (APIC)
9925 – 109 Street, Suite 700
Edmonton, Alberta T5K 2J8 

Re: Request for a Public Interest Commission Investigation into The Alberta Securities Commission

Dear Commissioner Ryan,

This letter is to inform the Public Interest Commissioner of an Alberta government agency which consistently acts contrary to the public interest, resulting in tremendous financial harm to society while the agency wears a cloak of protecting the public interest. These acts appear impossible to justify under the ASC’s mandate and they seem quite inappropriate for a government agency.

In light of the SNC-Lavalin affair and of the former Attorney General's position on the impropriety of deferred prosecutions, etc.,  I believe this request for an investigation may be timely, especially since CBC revealed in this past week that the reporting and results of previous Parliamentary inquiry were allowed to be altered and/or redacted by financial industry participants who were the subject of the public complaints. **

The following are some acts by the Alberta Securities Commission (ASC) which appear to endanger both the principles and the public protection mandate of the ASC:

1. Ignoring public protective principles, rules or laws which has the effect of enriching the financial industry while doing financial injury to the public.

2. Allowing laws to be “exempted” (granting permissions to skirt the law) for industry members, without public notice about the removal of public protective laws, without transparent public process, and without public warning to investors who invest with advisers or in investments which are “exempt” from the law.

3. Evidence of refusal to interact with the public, and instead referring the public to industry-funded “self” regulatory bodies This adds layers and barriers between the public interest and impartial protection of the public.

4. Reluctance or refusal to enforce certain Securities Act Laws, even when the ASC is notified of financial industry/or ASC violations which are harming the public.

5. Altering documents on ASC websites, and redacting of public informative terms and definitions. Revision and deletion of historical records to benefit industry participants, while adding confusion to the information given to the public.

6. Use of industry-funded advertising campaigns, encouraging the public to assume that the ASC is protecting investors, while the ASC misleads the public by deliberate omission of the most crucial details.

Some corporate entities which have received exemption from laws in Alberta include each of the major banks, Bombardier, SNC, Goldman Sachs, Valeant Pharmaceutical, Sun Life, National Bank, Concrete Equities, Sub Prime Mortgage investments etc.. The list runs into thousands of exemptions to laws which the public is not made aware of.

It is proving dangerous to our shared society when our financial industry is allowed to select, to pay and to influence its own private watch dogs.

I offer to assist you in the documentation, substantiation and understanding of issues in this letter, in hopes that regulatory practices which act contrary to the public interest can enter into public and Legislature awareness.
I trust that the Public Interest Commissioner will undertake an investigation as soon as possible. If too many institutions fail to act when called upon we run the risk of becoming a failed state, which would be a great loss to this wonderful country.
 “Failed cannot project authority over its territory and peoples....Its citizens no longer believe that their government is legitimate, and the state becomes illegitimate in the eyes of the international community.....A failed state is composed of feeble and flawed institutions.....the legislature, judiciary, bureaucracy,....have lost their capacity and professional independence.....Failed states create an environment of flourishing corruption.....where honest economic activity cannot flourish.

Yours Truly
Larry Elford, former CFP, CIM, FCSI, Associate Portfolio Manager, retired
Lethbridge Alberta

** CBC Bank regulator's report on aggressive sales tactics weakened after government — and banks — reviewed drafts
Documents reveal 'cosy' relationship between the government, the banking industry and its watchdog ... gKc-K-G3p4
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