This item is part of Stockwatch's value added news feed and is only available to Stockwatch subscribers.

Here is a sample of this item:

by Mike Caswell

The Canadian Investment Regulatory Organization has imposed a three-month suspension and $50,000 in monetary sanctions on James O'Reilly, a former Assante Capital Management Inc. employee who improperly borrowed $1.65-million from clients in 2021 and 2022. CIRO said that Mr. O'Reilly took out the loans to buy or renovate commercial and residential real estate properties. He failed to repay much of the money until CIRO pursued him over the matter, and did not disclose the dealings to Assante, CIRO determined.

The penalties for Mr. O'Reilly are contained in a decision that CIRO released on Tuesday, Feb. 18. In addition to the $30,000 fine, Mr. O'Reilly must pay $20,000 in CIRO's costs. Mr. O'Reilly minimized the financial sanctions by repaying the clients, making the payment just days before CIRO was to determine his penalties.

Tuesday's penalties arise from undisclosed dealings that began in 2021. According to CIRO, a couple (identified only as "BDN" and "JN") had sold a property and were asking Mr. O'Reilly how they should invest the proceeds. He suggested purchasing commercial real estate, with the idea being to renovate a building and sell it at a profit. He told them that he had come across a property in Hamilton, which would require $425,000 initially. Mr. O'Reilly represented to the couple that they would have their money back within a year, CIRO said.

The remainder is available to Stockwatch subscribers.
Sign-up for a FREE 30-day Stockwatch subscription and SEE NO ADS