Decision in brief: Odorico, Application for Hearing and Review, October 13, 2023

Mark Odorico was registered with the Canadian Investment Regulatory Organization (CIRO), which used to be known as the Investment Industry Regulatory Organization of Canada. He was a registered representative and portfolio manager. CIRO decided that Odorico stole client funds, made trades he wasn’t allowed to make in a client’s account and did not cooperate with CIRO’s investigation. CIRO decided that Odorico should pay a $125,000 fine, disgorge (give up to CIRO) the $579,000 he stole, and pay $25,000 of CIRO’s costs. He is also not allowed to register with CIRO, which means he could not work as registered representative or portfolio manager again.

Odorico said that he did not do anything wrong with the investment accounts. He borrowed money for personal reasons. The personal loans from his clients had nothing to do with their accounts and were not investments. He also said that CIRO did not treat him fairly. He represented himself and needed more time to properly respond to CIRO’s allegations because of his health issues.

The Tribunal decided that CIRO overlooked or did not understand evidence about whether Odorico stole or was loaned $150,000 from two clients. CIRO should reconsider that decision. The amount that Odorico must disgorge is reduced by $150,000.

The Tribunal will next have to decide whether part of the other sanctions are related to the $150,000 from the two clients and should also be reconsidered by CIRO.