Can individuals and entities responsible for securities misconduct really be expected to self-report?
The Alberta Securities Commission (ASC) announced a new policy that encourages self-reporting of possible breaches of securities law.
The Credit for Exemplary Cooperation in Enforcement Matters Policy outlines the factors ASC staff will consider in exercising their discretion to grant credit for cooperation above and beyond what is required under Alberta securities laws.
Additionally, the policy provides clarity to assist those involved in enforcement matters to understand the circumstances in which ASC staff will grant credit for exemplary cooperation.
Based on the policy, the exemplary cooperation may incite the staff to reduce the amount or duration of sanctions proposed in an administrative enforcement proceeding. The staff may also recommend or agree to take no enforcement action based on the facts known.
ASC Enforcement director Cynthia Campbell said the goal is to encourage individuals and entities to self-report securities misconduct to the ASC and provide full and timely cooperation in investigations and proceedings.
"The benefit to market participants is that they can address certain types of securities violations with efficiency and greater certainty. Additionally, taking this approach will improve enforcement effectiveness, which leads to better protection of investors and our capital market," she said.
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The Credit for Exemplary Cooperation in Enforcement Matters Policy outlines the factors ASC staff will consider in exercising their discretion to grant credit for cooperation above and beyond what is required under Alberta securities laws.
Additionally, the policy provides clarity to assist those involved in enforcement matters to understand the circumstances in which ASC staff will grant credit for exemplary cooperation.
Based on the policy, the exemplary cooperation may incite the staff to reduce the amount or duration of sanctions proposed in an administrative enforcement proceeding. The staff may also recommend or agree to take no enforcement action based on the facts known.
ASC Enforcement director Cynthia Campbell said the goal is to encourage individuals and entities to self-report securities misconduct to the ASC and provide full and timely cooperation in investigations and proceedings.
"The benefit to market participants is that they can address certain types of securities violations with efficiency and greater certainty. Additionally, taking this approach will improve enforcement effectiveness, which leads to better protection of investors and our capital market," she said.
For more of Wealth Professional's latest industry news, click here.
Related stories:
Best-interest dissenter reports compliance deficiencies
Advisors, help your clients avoid financial fraud
