Order to Cease and Desist Unlicensed Activity Against Twin Maple Financial

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

 

AND REGARDING 1219076 Ontario Limited c.o.b. as Twin Maple Financial (“Twin Maple Financial”)

 

ORDER TO CEASE AND DESIST UNLICENSED ACTIVITY

 

Twin Maple Financial has never held a mortgage brokerage licence with the Financial Services Commission of Ontario (“FSCO”) or any other licence under the Act.

 

Ramiro Dias (“Mr. Dias”) is the Director, Officer and President of Twin Maple Financial. Mr. Dias has never held a mortgage agent licence with the FSCO or any other licence under the Act.

 

On November 30, 2017, the Superintendent of Financial Services (“Superintendent”) issued a Notice of Proposal to Cease and Desist Unlicensed Activity and to Impose an Administrative Penalty in the amount of $10,000 against Twin Maple Financial for dealing in mortgages without a licence, contrary to subsection 2(2) of the Act, and for carrying on the business and holding itself out as a mortgage lender without a licence, contrary to subsection 4(2) of the Act.

 

On December 22, 2017, Twin Maple Financial requested a hearing before the Financial Services Tribunal (“Tribunal”).

 

On August 13, 2018, Twin Maple Financial withdrew its hearing request with the Tribunal.

 

Subsection 35(6) of the Act provides that where a hearing has not been requested in accordance with the Act, the Superintendent may carry out his proposal.

 

ORDER

IT IS ORDERED THAT Twin Maple Financial is required to:

 

  1. Immediately cease soliciting persons or entities to borrow or lend money on the security of real property in Ontario, and holding itself out as doing so while not duly licensed under the Act;
  2. Immediately cease otherwise dealing in mortgages as defined in subsection 2(1) of the Act while not duly licensed under the Act; and
  3. Immediately cease carrying on business as a mortgage lender as defined in subsection 4(1) of the Act, and holding itself out as lending money on the security of real property while not duly licensed under the Act.

TAKE NOTICE THAT pursuant to subsections 48(4) and 49(1) 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 or imprisonment for a term of not more than a year or both a fine and imprisonment. Pursuant to subsection 49(2) of the Act, 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) of the Act 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.

 

DATED at Toronto, Ontario on the 4th day of October 2018.

 

Original signed by “Brian Mills”

 

_______________________________________
Brian Mills
Superintendent of Financial Services

 

By Delegated Authority from
the Superintendent of Financial Services