IN THE MATTER OF the Mortgage Brokerage, Lenders and Administrators Act, 2006, S.O. 2006, c. 29, as amended (the “Act”), in particular sections 14, 21, 38, and 39;

AND IN THE MATTER OF James Michalopoulos

ORDER TO IMPOSE AN ADMINISTRATIVE PENALTY
AND TO IMPOSE CONDITIONS ON LICENCE

On February 15, 2023, Michalopoulos submitted an application to renew his level 2 mortgage agent licence (# M21000852) under the Act.

On March 28, 2023, by delegated authority from the Chief Executive Officer of the Financial Services Regulatory Authority of Ontario (the “Chief Executive Officer”), the Director, Litigation and Enforcement (the “Director”) issued a Notice of Proposal to:

1. impose an administrative penalty in the amount of $10,000 for providing false or misleading information on a license renewal application, contrary to section 45 of the Act; and
2. refuse to renew Michalopoulos’ mortgage agent licence.

A Request for Hearing (Form 1), dated March 31, 2023, was delivered to the Financial Services Tribunal (the “Tribunal”) in accordance with section 39(5) of the Act respecting the Notice of Proposal.

The Tribunal held an electronic hearing on December 4 – 6, 2023.

The Tribunal, in its Reasons for Decision dated February 21, 2024 (the “Decision”), directed that FSRA proceed with its Notice of Proposal to impose an administrative penalty of $10,000 on Michalopoulos. It further directed FSRA to issue the mortgage agent licence, subject to conditions.

ORDER

An administrative penalty in the amount of $10,000 is hereby imposed on James Michalopoulos (“Michalopoulos”), for the reasons set out in the decision of the Financial Services Tribunal (the “Tribunal”) dated February 21, 2024.

TAKE NOTICE THAT Financial Services Regulatory Authority of Ontario will deliver an invoice to Michalopoulos with information as to where and how to pay the administrative penalty. Michalopoulos must pay the administrative penalty no later than thirty (30) days after the date of the Tribunal’s decision or as otherwise agreed on.

If Michalopoulos fails to pay the administrative penalty in accordance with the terms of this Order, the Chief Executive Officer may file the Order with the Superior Court of Justice and the Order may be enforced as if it were an order of the court. An administrative penalty that is not paid in accordance with the terms of the order imposing the penalty is a debt due to the Crown and is enforceable as such.

DATED at Toronto, Ontario, March 5, 2024

Original signed by

Elissa Sinha
Director, Litigation & Enforcement

By delegated authority from the Chief Executive Officer

Si vous desirez recevoir cet avis en français, veuillez nous envoyer votre demande par courriel immediatement a : contactcentre@fsrao.ca.

ORDER

The following conditions are imposed on the level 2 mortgage agent licence (licence # M21000852) issued to James Michalopoulos (“Michalopoulos”):

1. Michalopoulos will successfully complete an ethics course regarding mortgage transactions approved by FSRA.
2. Michalopoulos shall not transfer his registration as a salesperson to another brokerage without having obtained prior written consent of FSRA.
3. Michalopoulos shall immediately notify his principal broker and FSRA directly and in writing of any new charges, offences, or convictions, or proposals to refuse registration or licenses, or to impose administrative penalties.
4. Michalopoulos’ licensing is conditional on a principal broker agreeing to supervise the conditions, and immediately inactive if that broker withdraws their supervision.
5. The supervising broker must have at least 5 years experience and no administrative monetary penalties or licensing action in the previous 5 years.
6. The supervising broker must agree to make quarterly reports to FSRA about Michalopoulos’ activities.
7. Michalopoulos is required to ensure that all mortgage applications, mortgage disclosure document and every mortgage lender commitment issued by Michalopoulos have been initialled and dated by the supervising broker and maintain evidence of such review.
8. Michalopoulos must submit a statement to FSRA every quarter affirming that he has met these conditions.

These conditions are imposed for the reasons set out in the decision of the Financial Services Tribunal dated February 21, 2024.

DATED at Toronto, Ontario, March 5, 2024

Original signed by

Elissa Sinha
Director, Litigation & Enforcement

By delegated authority from the Chief Executive Officer

Si vous desirez recevoir cet avis en français, veuillez nous envoyer votre demande par courriel immediatement a : contactcentre@fsrao.ca.