November 16, 2018 11:30
Photo : Freepik
An inspection of thefinancial markets Authority within the firm Financetoimieux.com found a series of failings. The two parties agreed on the sanctions before the administrative Tribunal of the financial markets (TAMF). The hearing took place on 17 October.
The Court has thus imposed an administrative penalty of $ 27,000 for deficiencies related to the management structure of the firm, which was not in compliance with certain provisions of the Act respecting the distribution of financial products and services and its regulations.
Appointment of a new chief executive
The firm must also proceed to the appointment of a new leader in replacement of Frederic Gariepy-Ladouceur. The identity of this new leader must be approved in advance by the Authority.
Financetoimieux.com will also need to put in place measures of control and surveillance to the satisfaction of the Authority. The objective is to ensure that the representatives associated with this office in compliance with the Act respecting the distribution of financial products and services and its regulations.
Other individual sanctions
The Tribunal imposed an administrative penalty of $ 5,000 to Frederic Gariepy-Ladouceur for failing to be adequately carrying out its obligations as an officer responsible for Financetoimieux.com, as well as for various breaches committed as the representative. He is also prohibited from acting, directly or indirectly, as an officer in charge of this firm or any other firm, and this, for a period of three years.
In addition, the certificate of Mr. Gariépy-Ladouceur is subject to conditions stipulating that it must be attached to a firm of which he is not the accountable officer for a period of three years. It must also exercise its activities under the supervision of a person appointed by the accountable officer to the cabinet in which it will be attached, and this, for a period of two years.
Administrative penalties of $ 3,500 were imposed to Francis Maheu and Marc-Étienne Legault-Salvail for failing to be paid adequately to their obligations as officers of Financetoimieux.com, as well as for various breaches committed as representatives. Their certificates are accompanied by a condition stipulating that they must exercise their activities under the supervision of a person nominated by the accountable officer of the firm to which they are attached, and this, for a period of two years.
Alexandre Branco is seen to impose an administrative penalty of $ 2,000 for having committed various breaches as the representative. The certificate is accompanied by a condition stipulating that it must exercise its activities under the supervision of a person appointed by the accountable officer to the cabinet in which it will be attached, and this, for a period of two years.
The business model of the firm sanctioned
According to its Web site, Financetoimieux.com has seen the light of day in 2014, four years after having developed its business plan. The firm said specialize “in all spheres of personal finance” student : student line of credit, loans and scholarships, transition on the labour market, insurance, etc
“The idea was conceived when the founder has had to shop for a line of credit from financial institutions. Quickly, he found that the process to obtain a line of credit was difficult, and that the information obtained was incomplete “, can we also read on his site.
The firm is also said to have the mission of helping university students to improve their financial situation using the bargaining power of all students. The young customer in question contacts the firm via the Web. An appointment of 30 minutes per videoconference is then given with a financial advisor.