In the Matter of The FINANCIAL INSTITUTIONS ACT (RSBC 1996, c. 141) (the "Act")
and The INSURANCE COUNCIL OF BRITISH COLUMBIA ("Council")
and MICHAEL GORDON PRUETER (the "Licensee")
DECISION AND ORDER UNDER SECTIONS 231 & 238 OF THE ACT
WHEREAS the Licensee currently holds a life and accident and sickness insurance licence in British Columbia and has been licensed since 1989, with the exception of the period between 1997 and 2003;
AND WHEREAS in July 2015, the Licensee entered into a settlement agreement ("Settlement Agreement") with the Mutual Fund Dealers Association of Canada ("MFDA"), resulting in the Licensee being prohibited from holding a mutual fund registration for two years, fined $10,000.00, and assessed costs of $2,500.00;
AND WHEREAS the Licensee failed to notify Council of the MFDA decision, in accordance with Council Rule 7(3)(a)(i);
AND WHEREAS Council determined that where an insurance agent has been banned from practicing in another segment of the financial services sector, their suitability to continue to engage in insurance business is brought into question;
AND WHEREAS Council concluded that to allow an insurance agent to continue to hold an active licence while banned from working in another financial services sector undermines the public's confidence in the insurance industry;
AND WHEREAS Council considers the length of time it would take to address this matter through an intended decision, pursuant to section 231 of the Act, would be detrimental to the due administration of the Act and the public's best interest;
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Decision and Order under Sections 231 & 238 of the Act Michael Gordon Prueter LIC-54819C66971Rl September 27, 2016 Page 2 of2
NOW THEREFORE Council orders that the Licensee's life and accident and sickness insurance licence be suspended, pursuant to sections 231 and 23 8 of the Act, effective the date of this order, until such time as the Licensee can demonstrate to Council that he has met all the terms of the Settlement Agreement with the MFDA.
TAKE NOTICE that, pursuant to section 238 of the Act, the Licensee has the right to require a hearing on this order before Council by delivering written notice within 14 days of receipt of this order to Council at Suite 300, 1040 West Georgia Street, Vancouver, British Columbia, V6E 4Hl; alternatively, the Licensee may appeal this order to the Financial Services Tribunal.
Dated in Vancouver, British Columbia, on the 27th day of September, 2016.
Chairperson, Insurance- ouncil of British Columbia
C_JJ·. Eric Yung