IN THE MATTER OF the Mortgage Brokerages, Lenders and Administrators Act, 2006, S.O. 2006, c. 29, as amended (the “Act”), in particular sections 35, 38 and 39;
AND IN THE MATTER OF Harold the Mortgage Closer Inc. (“HTMC”), Harold Gerstel (“Gerstel”), and Esther Gerstel Inc. (“EGI”).
Gerstel was a licensed mortgage broker (licence # M11000452) under the Act. Gerstel was the principal broker of HTMC and its sole officer and director. HTMC was licensed as a mortgage brokerage (licence # 12580) under the Act. After a contested hearing before the Financial Services Tribunal (the “Tribunal”) the renewal of Gerstel’s mortgage broker licence was refused and HTMC’s licence was revoked on April 3, 2025. Administrative penalties of $70,000 were also imposed.
EGI is a corporation incorporated pursuant to the laws of Ontario.
On April 30, 2024, 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 impose six administrative penalties against Gerstel in the total amount of $60,000, to impose six administrative penalties against EGI in the total amount of $150,000, and to impose a compliance order against EGI (the “Notice of Proposal”).
Requests for Hearings, dated May 15, 2024, were delivered to the Tribunal in accordance with section 21(3) of the Act respecting the Notice of Proposal.
The Tribunal held an electronic hearing on December 8, 9, 11, 12, 16, 17, 18, and 19, 2025, and January 5 and 6, 2026.
The Tribunal, in its Reasons for Decision dated April 21, 2026 (the “Decision”), directed the Chief Executive Officer to carry out the Notice of Proposal without changes.
Six (6) administrative penalties in the total amount of $60,000 are hereby imposed on Harold Gerstel, for the reasons set out in the Decision.
TAKE NOTICE THAT Financial Services Regulatory Authority of Ontario will deliver an invoice to Harold Gerstel (“Gerstel”) with information as to where and how to pay the administrative penalties. Gerstel must pay the administrative penalties no later than thirty (30) days after the date of this Order or as otherwise agreed on.
If Gerstel fails to pay the administrative penalties 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, April 27, 2026.
Original signed by
Elissa Sinha
Director, Litigation and Enforcement
By delegated authority from the Chief Executive Officer
Six (6) administrative penalties in the total amount of $150,000 are hereby imposed on Esther Gerstel Inc., for the reasons set out in the Decision.
TAKE NOTICE THAT Financial Services Regulatory Authority of Ontario will deliver an invoice to Esther Gerstel Inc. (“EGI”) with information as to where and how to pay the administrative penalties. EGI must pay the administrative penalties no later than thirty (30) days after the date of this Order or as otherwise agreed on.
If EGI fails to pay the administrative penalties 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, April 27, 2026.
Original signed by
Elissa Sinha
Director, Litigation and Enforcement
By delegated authority from the Chief Executive Officer
It is hereby ordered that Esther Gerstel Inc. permanently cease and desist carrying on the business of mortgage lending through Harold Gerstel and/or Harold the Mortgage Closer Inc. and cease and desist carrying on business as a mortgage lender without a mortgage brokerage licence or an exemption from the requirement to be licensed, for the reasons set out in the Decision.
DATED at Toronto, Ontario, April 27, 2026.
Original signed by
Elissa Sinha
Director, Litigation and Enforcement
By delegated authority from the Chief Executive Officer
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