In the Matter of The FINANCIAL INSTITUTIONS ACT (the "Act") (RSBC 1996, c.141)
and The INSURANCE COUNCIL OF BRITISH COLUMBIA ("Council")
and RAVINDER PAUL SINGH MANGAT (the "Licensee")
DECISION AND ORDER UNDER SECTIONS 231 & 238 OF THE ACT
WHEREAS the Licensee is currently licensed as a life and accident and sickness insurance agent;
AND WHEREAS Council commenced an investigation pursuant to section 232 ofthe Act, into an allegation that the Licensee took $43,500.00 from a client by obtaining loans against a life insurance policy owned by the client and then depositing the loan proceeds into his personal bank account, unbelmownst to the client;
AND WHEREAS Council made the following findings on the basis of its investigation: • the Licensee facilitated five loans on a life insurance policy owned by the client, between the period of August 19,2009 and May 14,2010, for a sum of$43,500.00;
• in 2009, the loan proceeds were made payable to the client via insurance company issued cheques that were mailed to the Licensee's office;
• the 2009 loan cheques were subsequently endorsed by someone other than the client and deposited into the Licensee's bank account;
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238 ORDER Ravinder Paul Singh Mangat File Number: 153820-1890 October 19,2010 Page 2 of2
• in 2010, the Licensee made an address change request on the client's policy and then requested a loan against the policy. The loan proceeds were made payable to the client via an insurance company issued cheque that was sent to the new address on the policy, which did not belong to the client. The loan cheque was subsequently endorsed by someone other than the client and deposited into the Licensee's personal bank account; and,
• the client did not consent to or have knowledge ofthe Licensee's aforementioned activities, which he had attempted to conceal by giving the client a falsified insurance record that did not document the policy loans.
AND WHEREAS the Licensee has not responded to Council's inquiries into the matter; AND WHEREAS Council has determined there is sufficient evidence which establishes on a balance of probabilities that the Licensee is no longer suitable to hold an insurance licence; namely, that he is not trustworthy and he does not intend to carryon the business of insurance in good faith;
AND WHEREAS Council has determined that the Licensee poses an immediate risk to the public; AND WHEREAS Council considers the length of time required to complete an investigation and make a decision pursuant to section 231 of the Act, would be detrimental to the due administration of the Act;
AND WHEREAS Council considers it to be in the public interest to cancel the Licensee's life and accident and sickness insurance agent's licence pursuant to section 231 (1 )(g) ofthe Act;
NOW THEREFORE Council orders the Licensee's life and accident and sickness insurance agent's licence is cancelled pursuant to section 231 and 238 of the Act, effective the date of this order; and,
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 4H1; alternatively, the Licensee may appeal this order to the Financial Services Tribunal.
Dated in Vancouver, British Columbia, on the 19 Chairperson, Insurance Council of British Columbia
th day of October, 2010. Barbara MacKinnon, CAIB