Managing Broker Receives $25,000 Fine, Cancelled Licence for Professional Misconduct

BC Financial Services Authority has issued a $25,000 fine and immediately cancelled the managing broker licence of Yu (David) Song, of Menethil Properties Ltd., having determined that he committed professional misconduct as defined under the Real Estate Services Act.

In the discipline proceedings, Song and Menethil Properties Ltd. admitted to a number of allegations against them, including failing to file financial statements, properly maintain financial records, and respond to BCFSA’s requests for information as required under the Real Estate Services Rules (the “Rules”).

The Rules require all brokerages to file their annual financial statements, accountant’s report, and brokerage activity report within 120 days after the end of the brokerage’s fiscal year. Despite repeated requests from BCFSA, Song failed to file these documents and failed to adequately respond to an inquiry by BCFSA for information and documents. When the brokerage did eventually provide some required statements and reports, they had issues and lacked completion dates.

BCFSA reminds managing brokers that they are responsible for ensuring that the business of the brokerage is carried out in accordance with the Real Estate Services Act, the Real Estate Services Regulations, and the Rules.

Summary of Decision

• Song and Menethil Properties Ltd. are required to pay a $25,000 discipline penalty to BCFSA; 
• Song and Menethil Properties Ltd. are required to pay enforcement expenses of $14,537;  
• Song’s managing broker licence is immediately cancelled but may continue being licensed as a representative;  
• Song is required to complete the Broker’s licensing course before applying for an associate or managing broker; 
• Menethil Properties Ltd. must file the required financial statements and reports within 45 days; 
• Menethil Properties Ltd. must undergo an audit by BCFSA within six months at its own expense.
• Read the decision: Yu (David) Song & Menethil Properties Ltd.

Media Contact:
Warren Mirko
Communications Manager, (778) 783-4057, warren.mirko@bcfsa.ca
Visit: www.bcfsa.ca