Permanent Cease and Desist Order Against Wilton Neale and 360 Degree Financial Services Inc.

REGARDING the Insurance Act, R.S.O. 1990, Chapter I.8, as amended (the "Act"), in particular section 441

AND REGARDING Wilton Neale and 360 Degree Financial Services Inc.

PERMANENT CEASE AND DESIST ORDER

Background

On February 10, 2009, the Superintendent of Financial Services ("Superintendent") issued an Interim Cease and Desist Order and Notice of Proposed Cease and Desist Order under sections 441(2) and 441(4) of the Act against Wilton Neale and 360 Degree Financial Services Inc.

Wilton Neale and 360 Degree Financial Services Inc. were served with the Notice by registered mail to the addresses on file with the Financial Services Commission on February 11, 2009. They are deemed to have received the Notice on February 16, 2009, and from that date had fifteen (15) days to request a hearing before the Financial Services Tribunal. No request for a hearing was made within 15 days and in accordance with section 441(7) of the Act, the Superintendent may make the Interim Cease and Desist Order permanent.

CEASE AND DESIST ORDER

Effective this date, pursuant to section 441(7) of the Act, the Superintendent orders that Neale, 360 Degree Financial, and any agents or representatives thereof:

  1. Immediately cease engaging in or carrying on the business of insurance in the Province of Ontario;
  2. Immediately cease collecting money or anything else of value from any member of the public in exchange for or in connection with the sale of insurance products in Ontario;
  3. Immediately cease withdrawing, transferring or dealing in any way whatsoever with any funds held in the accounts of 360 Degree Financial or elsewhere that were obtained from, or originate in funds obtained from, persons resident in Ontario in connection with the sale of insurance products to those persons;
  4. Immediately cease soliciting the sale of insurance products of any form in Ontario;
  5. Immediately cease advertising in any form in Ontario;
  6. Immediately provide the Superintendent with a written list of all insurance products for which applications have been received and/or which were sold to persons resident in Ontario within the previous eighteen (18) months, along with a complete accounting satisfactory to the Superintendent of all funds received from those persons and all payments made to or on behalf of such persons;
  7. Immediately mail to all clients in Ontario a copy of this Cease and Desist Order and provide evidence satisfactory to the Superintendent that this mailing was done.

TAKE NOTICE THAT section 447(2)(b) of the Act provides that any person who fails to comply with any order made under the Act is guilty of an offence and liable on a first conviction to a fine of not more than $100,000 and on each subsequent conviction to a fine of not more than $200,000.

Section 447(4) of the Act provides that every director, officer and chief agent of a corporation who caused, authorized, permitted or participated in a corporation committing an offence, or who fails to take reasonable care to prevent a corporation from committing an offence, is also guilty of an offence and is liable on a first conviction to a fine of not more than $100,000 and on each subsequent conviction to a fine of not more than $200,000.

Section 447(5) of the Act provides that where a person is convicted of an offence under the Act, the court making the conviction may, in addition to any other penalty, order the person convicted to make compensation or restitution in relation to the offence.

ISSUED AT the City of Toronto, March 4, 2009.

 

Robert Christie
Superintendent of Financial Services