Order To Cease And Desist Unlicensed Activity Against Spartan Financial Inc.

Regarding the Mortgage Brokerages, Lenders and Administrators Act, 2006, S.O. 2006, c.29 (the "Act"), in particular section 35.
 
And Regarding Spartan Financial Inc.

Order To Cease and Desist Unlicensed Activity

 
To:             

 

Spartan Financial Inc.
213 Cumming Drive 
Barrie ON  L4N 0S8
 
On December 1, 2015, the Superintendent of Financial Services (the "Superintendent") issued a Notice of Proposal to Impose a Compliance Order to Cease and Desist Unlicensed Activity (the "Notice") against Spartan Financial Inc. ("Spartan") pursuant to subsection 35(3) of the Act.

Spartan had 15 days after service of the Notice to request a hearing before the Financial Services Tribunal (the "Tribunal") in accordance with subsections 35(3) and 35(4) of the Act.

The Registrar of the Tribunal has confirmed that no request for a hearing has been received from Spartan, or anyone on its behalf, in respect of the proposal to impose a compliance order to cease and desist unlicensed activity.

Subsection 35(6) of the Act provides that the Superintendent may carry out the proposal to impose a compliance order when no hearing has been requested.
 

Order

 
It is ordered that Spartan Financial Inc. is required to:

  1. Immediately cease soliciting persons or entities to borrow or lend money on the security of real property in Ontario, or holding itself out as doing so, including the deactivation of the website http://spartanfinancial.ca and other internet or social media content including but not limited to content on Facebook, Twitter, LinkedIn and YouTube; and
  2. Immediately cease otherwise dealing in mortgages as defined in section 2(1) of the Act.

Take notice that pursuant to subsections 48(4) and 49(1) and (2) of the Act, every person who fails to comply with an order made under this 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 $100,000.00 or imprisonment for a term of not more than a year or both a fine and imprisonment.  Every corporation convicted of an offence under the Act is liable to a fine of not more than $200,000.00.

Pursuant to subsection 48(5) of the Act, every director or officer of a corporation that commits an offence under this Act who directed, authorized, assented to, acquiesced in or participated in the commission of the offence, or who failed to take reasonable care to prevent the corporation from committing the offence, is guilty of an offence, whether or not the corporation is prosecuted or convicted.

Subsection 48(6) provides that every partner of a partnership and every individual who is a member of the directing body of an entity, other than a person or partnership, who directed, authorized, assented to, acquiesced in or participated in the commission of an act or omission by the partnership or entity which, if committed by a person, would be an offence under the Act, is guilty of an offence.

Si vous désirez recevoir cet ordre en français, veuillez envoyer votre demande immédiatement à: Adjointe, audiences, Greffe, Commission des services financiers de l'Ontario, 5160 rue Yonge, boîte 85, Toronto ON M2N 6L9.
 
Dated at Toronto, Ontario, December 23, 2015.

original signed by "Anatol Monid"

per 

Brian Mills
Superintendent of Financial Services