The British Columbia Securities Commission (BCSC) has published allegations against a Salmon Arm man who they claim traded in securities and acted as an adviser without being registered.
The allegations, released on April 16, state that between 2014 and 2017, Jeffrey Dean Mushaluk was paid a total of $645,750 in commission for trading and advising for a corporation that offered investment funds. The BCSC states the corporation was registered in B.C. as an exempt market dealer and portfolio manager, and in Ontario as an investment fund manager, exempt market dealer and portfolio manager before it collapsed in April 2017.
The BCSC claims that Mushaluk solicited and referred 96 investors to investment funds managed by the corporation, which Mushaluk is said to have had a consulting agreement with. According to the securities commission, Mushaluk collected information about investors including their risk preferences, investment goals and household income. They also claim he filled out investors’ paperwork and served as their primary point of contact in regards to their investments. The contact is said to have included seminars in which Mushaluk gave potential investors information on the corporation and its investment funds.
The securities commission also asserts that Mushaluk held himself out as a financial and investment advisor. They say he made investment recommendations or gave instructions for portfolio allocations for 61 of the investors.
“Although Mushaluk was registered under the Securities Act to sell mutual funds for part of this period, the BCSC alleges that he was not registered to trade or advise for the corporation,” the BCSC news release reads.
The securities commission’s allegations have not been proven. They plan to schedule a hearing in May.