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IN THE MATTER OF the Insurance Act, R.S.O. 1990, c.I.8, as amended (the “Act”), in particular sections 392.5 and 407.1;
AND IN THE MATTER OF Donald Newton Mason
INTERIM ORDER SUSPENDING LICENCE
TO: Donald Newton Mason
Section 392.5(1) of the Insurance Act provides that the Chief Executive Officer of the Financial Services Regulatory Authority of Ontario (the “Chief Executive Officer”) may revoke or suspend an agent’s licence if the agent has failed to comply with the Act, the regulations or a condition of the licence, or if the Chief Executive Officer has a reasonable belief that the agent is not suitable to hold the licence.
Section 407.1 of the Act provides that if the Chief Executive Officer proposes to revoke a licence without the licensee’s consent, the Chief Executive Officer shall give written notice of the proposal to the licensee, including the reasons for the proposal.
Section 392.5(6) of the Act provides that, if in the Chief Executive Officer’s opinion, the interests of the public may be adversely affected by any delay in the revocation or suspension of an agent’s licence as a result of the steps required by section 407.1, the Chief Executive Officer may, without notice, make an interim order suspending the licence and may do so before or after giving the notice required by section 407.1 with respect to the proposal to revoke or suspend the licence.
INTERIM ORDER SUSPENDING LICENCE
IT IS ORDERED THAT pursuant to section 392.5 of the Act, the life insurance and accident and sickness insurance agent licence issued to Donald Newton Mason (“Mason”) (licence number 12124639) is suspended for the reasons outlined below. During the suspension, Mason is not authorized to act as an insurance agent in Ontario.
TAKE NOTICE THAT this Interim Order takes effect immediately and will remain in effect until the expiry of the period for requesting a hearing in respect of a Notice of Proposal to Revoke License (15 days after the Notice is given or deemed to have been delivered).
AND TAKE NOTICE THAT pursuant to subsections 447(2)(b) and subsection 447(3) of the Act, every person who fails to comply with an order made under the 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 $250,000 on a first conviction and a fine of not more than $500,000 for each subsequent conviction.
REASONS FOR ORDER
1. Mason has been licensed as a life insurance and accident & sickness insurance agent (licence #12124639) under the Act since March 20, 2024. He was previously licensed from March 20, 2012, to March 20, 2014. Mason’s licence is presently scheduled to expire on March 19, 2026.
2. Mason is contracted with Financial Horizons Group Inc.
3. The specific facts supporting this Interim Order are found in the Notice of Proposal to Suspend Licence and to Impose Administrative Penalty issued to Mason.
4. Mason has failed to comply with a condition of his license. Mason has failed to respond to multiple requests for information from FSRA promptly, explicitly, and completely, and within the period specified. Accordingly, there are reasonable grounds to believe that Mason is no longer suitable to be licensed under the Act.
5. The Director, Litigation and Enforcement, by delegated authority from the Chief Executive Officer, is of the opinion that the interests of the public may be adversely affected by any delay in making an order to suspend Mason’s licence and therefore, the issuance of an interim suspension is necessary.
6. Mason is an imminent risk to the public as he has failed to comply with a key condition of his license and respond to regulatory inquiries. The serious nature and repeated pattern of misconduct presents a significant risk of public harm if Mason continues to act as an insurance agent. There are no lesser alternative measures which will adequately protect the public.
7. Further, the continued licensing of Mason causes risk to public confidence in the regulated insurance sector in Ontario and to the reputations of other licensed participants in this sector. An interim suspension order is required to ensure public confidence in the regulatory scheme and sector.
8. Accordingly, the criteria for issuance of an interim suspension are satisfied.
DATED at Toronto, Ontario,
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Director, Litigation and Enforcement
By delegated authority from the Chief Executive Officer