Former Winnipeg financial adviser faces penalties after disciplinary hearing

A former financial adviser from Winnipeg has been found guilty by a hearing panel of a number of infractions, including making unsuitable recommendations to clients.

A disciplinary hearing by the Investment Industry Regulatory Organization ofCanadawas held May 7-11 and released its decision on Friday.

Itfound Edward Peter Bodnarchukfailed to suitably know two of his clients in order to make proper decisions on their behalf, made unsuitable recommendations, engaged in discretionary trading, and failed to notify his employer of an existing, or potential, conflict of interest.

Specifically, the panel found Bodnarchuk committed the following violations:

• Between July 2008 and November 2012, hefailed to use due diligence to learn and remain informed of the essential facts relative to a client.
• Between July2008 and November 2012, he made unsuitable recommendations for the account of a client.
• BetweenJuly 2008and November 2012, he made discretionary trades in the accounts of a client.
• Between August 2010 and April 2016, hefailed to use due diligence to learn and remain informed of the essential facts relative to a client.
• Between August 2010 and April 2016, hemade unsuitable recommendations for the account of a client.
• Between August 2010 and April 2016,hemade discretionary trades in the accounts of a client.
• Between October 2010 andDecember 2012, hefailed to disclose to his firm activities that fell outside the scope of his duties as a registrant that created a real or potentialconflict of interest between Bodnarchuk and his clients.

The violations occurred while he was a registered representative with theWinnipegbranch of National Bank Financial Ltd.and theWinnipegbranch of PI Financial Corp.

A separate hearing will be held to determine the penalty to be imposed on Bodnarchuk, who isno longer a registrant with anIIROC-regulatedfirm.