The applicant, a licensed mortgage brokerage, requested a hearing before the Financial Services Tribunal regarding a proposal by the Superintendent of Financial Services to impose a $1,000 administrative penalty for failing to maintain required errors and omissions insurance.
The applicant mistakenly believed its real estate broker insurance was sufficient and delayed rectifying the issue due to personal circumstances while out of the country.
The Tribunal found the penalty was justified but reduced the amount to $500, considering the applicant's honest mistake, lack of actual harm, and prompt remedial action once the deficiency was understood.
