IN THE MATTER OF STAFF’S RECOMMENDATION TO SUSPEND THE REGISTRATION OF ANTONETTA ADEBAYO
Section 28 of the Securities Act, R.S.O. 1990, c. S.5
- On June 11, 2018, staff of the Ontario Securities Commission (Staff) informed Antonetta Adebayo (Adebayo), an individual registered as a dealing representative in the category of mutual fund dealer with WFG Securities Inc. (WFG), that it had recommended to the Director that her registration be suspended. In support of its recommendation, Staff submits that:
- Terms and conditions were imposed on Adebayo’s registration on August 21, 2017 (the Terms and Conditions), due to Staff’s concerns with her solvency and Adebayo’s failure to disclose a personal business, a direction to pay the Canada Revenue Agency, and a consumer proposal as required by section 4.1 of National Instrument 33-109 Registration Information. The Terms and Conditions required that Adebayo be placed under close supervision by WFG for a minimum of one year, and that she complete of the Conduct and Practices Handbook Course (CPH) offered by the Canadian Securities Institute (CSI) by no later than April 30, 2018. Adebayo consented to the imposition of the Terms and Conditions.
- As of June 11, 2018, Adebayo had not complied with the Terms and Conditions. She did not receive a passing grade on her March 13, 2018, March 16, 2018, April 13, 2018 or May 28, 2018 attempts to take the CPH.
- Adebayo informed Staff on April 27, 2018, that the CSI may grant an exception to its requirement that a participant wait six months prior to re-writing a test following three unsuccessful attempts. Staff did not propose to suspend her registration at that time because she suffered, and recovered from, an injury during the prescribed period to complete the exam. Instead, Staff recommended that the Director impose a non-trading term and condition to permit Ms. Adebayo to pursue the exception and re-write the exam for a fourth time. Adebayo consented to the imposition of the non-trading term and condition. On May 30, 2018, Adebayo informed Staff that she was not successful on her fourth attempt to pass the CPH exam.
- Staff has serious concerns with Adebayo’s proficiency to act as a registered dealing representative as a result of her failure to disclose information required to be disclosed by section 4.1 of National Instrument 33-109 - Registration Information. In Staff’s view, Adebayo’s inability to successfully pass the CPH after four attempts, demonstrates that she currently lacks the requisite proficiency of a registered individual.
- By failing to satisfy the Terms and Conditions, Staff is of the view that Adebayo failed to comply with Ontario securities law and rendered her registration objectionable, which are each independently sufficient bases for suspension under section 28 of the Act.
- Adebayo failed to comply with the Terms and Conditions on her registration. She also did not request an opportunity to be heard in relation to Staff’s recommendation.
- Based on the foregoing, my decision is that the registration of Adebayo be suspended, as recommended by Staff, effective immediately.
Deputy Director, Compliance and Registrant Regulation
Ontario Securities Commission
July 16, 2018