Which organization has the power to order restitution for misconduct in the Montreal Exchange?

Which organization has the power to order restitution for misconduct in the Montreal Exchange?

• A. The Ontario Securities Commission
• B. The Manitoba Securities Commission
• C. The Canadian Securities Administrators
• D. IIROC

Answer: (B)

The organization that has the power to order restitution for misconduct related to the Montreal Exchange is IIROC, or the Investment Industry Regulatory Organization of Canada. IIROC is responsible for overseeing investment dealers and trading activities, which includes the enforcement of compliance with regulations and standards.

IIROC's authority extends to imposing penalties on dealers and representatives for misconduct that can include ordering restitution to affected clients. This capability is an essential part of maintaining investor protection and ensuring fair market practices.

The Ontario Securities Commission, the Manitoba Securities Commission, and the Canadian Securities Administrators primarily serve regulatory roles and provide oversight within their respective jurisdictions, but they do not have direct authority to order restitution concerning activities specifically related to the Montreal Exchange as IIROC does. Thus, the correct identification of IIROC highlights its critical role in enforcing compliance and safeguarding market integrity.