A hearing panel of the Investment Industry Regulatory Organization of Canada (IIROC) has imposed a $10,000 fine against Bryan Dale Claggett.

The penalty decision follows the panel’s earlier decision, dated April 4, 2011, which found that Claggett violated an IIROC rule when, without his firm’s knowledge, he attempted to settle a client complaint by paying the client money.

In that decision, the panel also dismissed a second charge which alleged that Claggett had conducted discretionary trades in client accounts without the written authorization of the respective clients.

Specifically, the panel found that Claggett engaged in conduct unbecoming and detrimental to the public interest, contrary to IIROC Rule 29.1, when he paid $14,000 to a client to resolve that client’s complaint, without the prior knowledge or consent of his firm.

The violation occurred on or about February 9, 2006, while Claggett was a registered representative at the Vancouver branch of BMO Nesbitt Burns, an IIROC-regulated firm. IIROC began its investigation into Claggett’s conduct in May 2008, after receiving a client complaint. Claggett is currently a registered representative at the Vancouver office of Canaccord Genuity Corp., an IIROC-regulated firm.

IIROC investigates possible misconduct by its member firms and/or individual registrants. It can bring disciplinary proceedings which may result in penalties including fines, suspensions and permanent bans or terminations for individuals and firms.