IIROC hands out fines

(i) Between August 2009 and February 20I0, Mr. Eydelman entered orders on the Toronto Stock Exchange that he ought reasonably to have known could reasonably be expected to create an artificial bid price for Quebecor Inc. Class A securities (“QBR.A”) contrary to UMIR 2.2 and UMIR Policy 2.2.

Questrade Inc. admitted to the following violation:

(i) From August 2009 until February 2010, Questrade Inc. failed to have adequate policies and procedures in place and a supervision system sufficient to prevent and detect potential artificial bid prices, contrary to UMIR 7 .I and UMIR Policy 7 .I.

Pursuant to the Settlement Agreement, Mr. Eydelman and Questrade Inc. agreed to the following penalties:

(a) For Mr. Eydelman:

(i) A three month suspension from access to an IIROC-regulated marketplace, to commence 30 days from the date of approval of this Settlement Agreement;

(ii) A fine of $30,000; and

(iii) Costs in the amount of $5,000.

(b) For Questrade Inc.:

(i) A fine of $70,000; and

(ii) Costs in the amount of $10,000.

The Settlement Agreement and the Hearing Panel’s decision will be made available at www.iiroc.ca.

Documents related to ongoing IIROC enforcement proceedings — including Reasons and Decisions of Hearing Panels — are posted on the IIROC website as they become available. Click here to search and access all IIROC enforcement documents.

IIROC formally initiated the investigation into the Mr. Eydelman and Questrade’s conduct in November 2010. The conduct occurred when Mr. Eydelman was a registered trader with Questrade Inc., an IIROC-regulated firm. Mr. Eydelman is currently employed by Questrade in that capacity.