TORONTO, June 26,
2024 /CNW/ - A sanctions hearing has been scheduled
before a hearing panel of the Canadian Investment Regulatory
Organization (CIRO) under the Mutual Fund Dealer Rules in the
matter of Zahir Hussain Lehri.
The hearing panel will consider the sanctions to be imposed as a
result of its decision dated June 7,
2024, in which Zahir Lehri
was found to have:
1) allowed an Approved Person who was not
registered with the Member to:
a. open new accounts at the
Member for clients;
b. complete and submit for
processing Know-Your-Client forms;
c. implement a leveraging
strategy for these clients using false or inaccurate client
financial documentation; and
d. process trades in the
accounts of these clients using the Respondent's representative
code;
thereby:
a. facilitating stealth
advising by the other Approved Person, and
b. failing to use due
diligence to learn the essential facts relative to the clients and
to ensure that the leveraging strategy and investments that were
recommended and implemented for clients were suitable.
2) misappropriated or failed to account for
monies received from a client and another individual, and
3) failed to cooperate with an investigation
into his conduct by Staff of the MFDA.
The hearing panel's liability decision is available at:
Re Lehri 2024 CIRO 55
The sanctions hearing is open to the public, unless the hearing
panel orders otherwise. The decision of the hearing panel will be
made available at www.ciro.ca.
Hearing
Date:
August 30, 2024 at 10:00 am (Eastern Time)
Location: Toronto, Ontario via videoconference
Members of the public who would like to obtain further
particulars should fill out this questionnaire.
During the period described in the Notice of Hearing,
Zahir Lehri conducted business in
the Brampton, Ontario area.
The Canadian Investment Regulatory Organization (CIRO) is the
national self-regulatory organization that oversees all investment
dealers, mutual fund dealers and trading activity on Canada's debt and equity marketplaces. CIRO is
committed to the protection of investors, providing efficient and
consistent regulation, and building Canadians' trust in financial
regulation and the people managing their investments. For more
information, visit www.ciro.ca.
All information about disciplinary proceedings relating to
current and former member firms and individual registrants under
the Investment Dealer and Partially Consolidated Rules (for
investment dealers), the Mutual Fund Dealer Rules (for mutual fund
dealers) and the Universal Market Integrity Rules (UMIR) is
available on CIRO's website.
Background information regarding the qualifications and
disciplinary history, if any, of advisors currently employed by
CIRO-regulated investment firms is available free of charge through
the AdvisorReport service. Information on how to make
dealer, advisor or marketplace-related complaints is available by
calling 1-877-442-4322.
CIRO investigates possible misconduct by its member firms and
individual registrants. It can bring disciplinary proceedings which
may result in sanctions including fines, suspensions, permanent
bars, expulsion from membership, or termination of rights and
privileges for individuals and firms.
SOURCE Canadian Investment Regulatory Organization (CIRO)