The Financial Services Regulatory Authority of Ontario has initiated enforcement action against K. Banx Mortgages Ltd. and Fahima, Soheil and Daniel Kashani for alleged breaches of Ontario’s mortgage brokering legislation. The allegations include failures by the brokerage to assess mortgage suitability and maintain complete and accurate records. Fahima Kashani allegedly failed to oversee compliance and obstructed the regulator, while Soheil Kashani allegedly contributed to regulatory breaches, provided false information in a licence renewal application and assisted with false or deceptive information. Daniel Kashani also allegedly assisted or counselled another person to provide false or deceptive information. The regulator proposes to amend Fahima Kashani’s mortgage broker licence, revoke Soheil Kashani’s licence and impose administrative penalties totaling CAD 85,000. The proposed penalties comprise CAD 20,000 each against K. Banx and Fahima Kashani, CAD 35,000 against Soheil Kashani and CAD 10,000 against Daniel Kashani. All four respondents have requested a hearing before the Financial Services Tribunal.
2026-08-18Financial Services Regulatory Authority of Ontario
Financial Services Regulatory Authority of Ontario pursues licence action and CAD 85,000 in penalties against mortgage brokerage and three individuals
The Financial Services Regulatory Authority of Ontario has initiated enforcement action against K. Banx Mortgages Ltd. and three individuals over alleged suitability, recordkeeping, compliance, obstruction and false-information breaches. It proposes licence action against two individuals and administrative penalties totaling CAD 85,000, with all respondents requesting a Financial Services Tribunal hearing.