TORONTO, March 30, 2023 /CNW/ - A settlement hearing in the matter of GP Wealth Management (the "Respondent") was held electronically by videoconference on February 2, 2023 in Toronto, Ontario before a three-member Hearing Panel of the Ontario District Hearing Committee of the New Self-Regulatory Organization of Canada ("New SRO").

The Hearing Panel accepted the settlement agreement dated January 9, 2023 (the "Settlement Agreement"), between Staff of New SRO and the Respondent as a consequence of which the following sanctions were imposed on the Respondent:

• a fine in the amount of $20,000; and
• costs in the amount of $5,000.

In the Settlement Agreement, the Respondent admitted that between June 2013 and at least May 2016, it failed to adequately detect and query uniformity in the Know-Your-Client information recorded by former Approved Person AF for 88 leveraged accounts transferred to the Respondent, 23 new leveraged accounts opened at the Respondent, and 5 loan renewals in existing accounts at the Member, contrary to MFDA Rules 2.2.1 and 2.5.1 and MFDA Policy No. 2.

A copy of the Settlement Agreement is available on the MFDA website at www.mfda.ca.

New Self-Regulatory Organization of Canada is the national self-regulatory organization that oversees all investment dealers, mutual fund dealers and trading activity on Canada's debt and equity marketplaces. New SRO is carrying on the regulatory functions of the Investment Industry Regulatory Organization of Canada and the Mutual Fund Dealers Association of Canada, and 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.newselfregulatoryorganizationofcanada.ca.

SOURCE New Self-Regulatory Organization of Canada (New SRO)