Defendant Name: BMO Capital Markets Corporation

Defendant Type: Subsidiary of Public Company
Public Company Parent: Bank of Montreal
SIC Code: 6021
CUSIP: 06367110

Initial Case Details

Legal Case Name In the Matter of BMO Capital Markets Corp.
First Document Date 13-Jan-2025
Initial Filing Format Administrative Action
File Number 3-22398
Allegation Type Broker Dealer

Violations Alleged

Other
• Failure to supervise under Section 15(b)(4)(E) Exchange Act

Resolutions

First Resolution Date 13-Jan-2025
Headline Total Penalty and Disgorgement

See Related Documents

Related Documents:

34-102160 13-Jan-2025 Administrative Proceeding
Order Instituting Administrative Proceedings, Pursuant to Section 15(b)(4) of the Securities Exchange Act of 1934, Making Findings, and Imposing Remedial Sanctions
On January 13, 2025, the SEC instituted settled administrative proceedings against BMO Capital Markets Corp., stating: "This matter involves CMC’s failure reasonably to supervise certain CMC registered representatives with a view towards preventing and detecting their violations of the federal securities laws while offering and selling certain Agency Collateralized Mortgage Obligation Bonds (“Agency CMO Bonds”)."
2025-3 13-Jan-2025 Press Release--Administrative Proceeding
SEC Charges BMO Capital Markets with Failing to Supervise Agency Bond Desk
On January 13, 2025, the SEC stated that: "[It] charged registered broker-dealer BMO Capital Markets Corp. with failing to supervise employees who, from December 2020 until May 2023, sold mortgage-backed bonds using offering sheets and bond metrics that were misleading and did not accurately describe the characteristics of the collateral backing the bonds. To settle the charges, BMO agreed to pay more than $40 million in disgorgement, prejudgment interest, and a civil penalty."
34-102690 17-Mar-2025 Administrative Proceeding
Extension Order
The Commission ordered that: " the Division’s request for an extension of time until March 16, 2026, to submit a Proposed Plan of Distribution is granted."