As of July 1, 2008, the Financial Services Commission of Ontario (FSCO) has conducted the following compliance activities for the mortgage brokering sector in Ontario:
- An errors and omissions insurance audit of all licensed mortgage brokerages in Ontario.
- An education audit of all mortgage agents with conditional licenses.
- Investigations of mortgage brokerages, brokers and agents suspected of non-compliance with the Mortgage Brokerages, Lenders and Administrators Act, 2006 (MBLAA).
- Compliance field visits of 130 mortgage brokerages.
- Investigations of complaints from the public and other licensees.
- Compliance sweeps of the industry's ads, public relations materials and websites.
- Reviews of Annual Information Returns, financial statements, licensing applications and other records.
Based on the outcome of these compliance activities, FSCO has taken the following enforcement action against mortgage brokerages, administrators, brokers and agents:
- Issued Notices of Proposal to refuse, suspend or revoke licenses.
- Sent out warning notices and letters of caution;
- Ordered administrative monetary penalties;
- Imposed conditions on licenses; and
- Prosecuted individuals and businesses that have not complied with the law.
To learn more about FSCO's mortgage brokering enforcement activities, refer to Enforcement Online