Order to Cease and Desist Unlicensed Activity Against Pannirshelvan Kannuthurai

REGARDING the Mortgage Brokerages, Lenders and Administrators Act, 2006, S.O. 2006, c.29 (the “Act”), in particular section 35.

 

AND REGARDING Pannirshelvan Kannuthurai

Order to Cease and Desist Unlicensed Activity

On May 15, 2017, the Superintendent of Financial Services (the “Superintendent”) issued a Notice of Proposal to Impose a Compliance Order to Cease and Desist Unlicensed Activity (the “Notice”) against Pannirshelvan Kannuthurai pursuant to subsection 35(3) of the Act.

 

Mr. Kannuthurai had 15 days after service of the Notice to request a hearing before the Financial Services Tribunal (the “Tribunal”) in accordance with subsections 35(3) and 35(4) of the Act. Mr. Kannuthurai filed his request for hearing outside this 15 day deadline.

 

On November 20, 2017, the Tribunal issued a decision ordering that the request for hearing filed by Mr. Kannuthurai be dismissed without a hearing.

 

Subsection 35(6) of the Act provides that the Superintendent may carry out the proposal to impose a compliance order when no hearing has been requested.

Order

IT IS ORDERED that Pannirshelvan Kannuthurai is required to:

 

  1. Immediately cease soliciting persons or entities to borrow or lend money on the security of real property in Ontario, or holding himself out as doing so, including the soliciting of investors in any syndicated mortgage investments or soliciting investors to lend money to be secured against property owned or previously owned by Mr. Kannuthurai or a company related to Mr. Kannuthurai including the property at 189-195 Milner Avenue, Toronto and 4570 Sheppard Avenue East, Toronto; and
  2. Immediately cease otherwise dealing in mortgages as defined in section 2(1) of the Act.

TAKE NOTICE THAT pursuant to subsections 48(4) and 49(1) and (2) of the Act, every person who fails to comply with an order made under this Act is guilty of an offence and every individual convicted of an offence under the Act is liable to a fine of not more than $100,000.00 or imprisonment for a term of not more than a year or both a fine and imprisonment.  Every corporation convicted of an offence under the Act is liable to a fine of not more than $200,000.00.

 

Pursuant to subsection 48(5) of the Act, every director or officer of a corporation that commits an offence under this Act who directed, authorized, assented to, acquiesced in or participated in the commission of the offence, or who failed to take reasonable care to prevent the corporation from committing the offence, is guilty of an offence, whether or not the corporation is prosecuted or convicted.

 

Subsection 48(6) provides that every partner of a partnership and every individual who is a member of the directing body of an entity, other than a person or partnership, who directed, authorized, assented to, acquiesced in or participated in the commission of an act or omission by the partnership or entity which, if committed by a person, would be an offence under the Act, is guilty of an offence.

 

Si vous désirez recevoir cet ordre en français, veuillez envoyer votre demande immédiatement à: Adjointe, audiences, Greffe, Commission des services financiers de l’Ontario, 5160 rue Yonge, boîte 85, Toronto ON M2N 6L9.

 

DATED at Toronto, Ontario, November 27, 2017.

 

Brian Mills
Superintendent of Financial Services