CIRO to Hold Sanctions Hearing for Zahir Hussain Lehri

Toronto (Ontario), June 26, 2024 – A sanctions hearing has been scheduled before a hearing panel of the Canadian Investment Regulatory Organization (CIRO) under the Mutual Fund Dealer Rules in the matter of Zahir Hussain Lehri.

The hearing panel will consider the sanctions to be imposed as a result of its decision dated June 7, 2024, in which Zahir Lehri was found to have:

1. allowed an Approved Person who was not registered with the Member to:

   1. open new accounts at the Member for clients;
   2. complete and submit for processing Know-Your-Client forms;
   3. implement a leveraging strategy for these clients using false or inaccurate client financial documentation; and
   4. process trades in the accounts of these clients using the Respondent’s representative code;

   thereby:

   1. facilitating stealth advising by the other Approved Person, and
   2. failing to use due diligence to learn the essential facts relative to the clients and to ensure that the leveraging strategy and investments that were recommended and implemented for clients were suitable.
2. misappropriated or failed to account for monies received from a client and another individual, and
3. failed to cooperate with an investigation into his conduct by Staff of the MFDA.

The hearing panel’s liability decision is available at:

Re Lehri 2024 CIRO 55

The sanctions hearing is open to the public, unless the hearing panel orders otherwise. The decision of the hearing panel will be made available at www.ciro.ca.

Hearing Date: August 30, 2024 at 10:00 am (Eastern Time)

Location: Toronto, Ontario via videoconference

Members of the public who would like to obtain further particulars should fill out this questionnaire.

During the period described in the Notice of Hearing, Zahir Lehri conducted business in the Brampton, Ontario area.