The Financial Services Regulatory Authority of Ontario (FSRA) issued a notice of proposal initiating enforcement action against S.O.R.A. Real Estate & Insurance Ltd. operating as MIC Financial and Roberto Gabriel Mammone, alleging breaches of Ontario’s mortgage brokerage requirements. FSRA alleges that MIC Financial repeatedly allowed a mortgage agent to deal in mortgages on its behalf and paid fees to that agent even though the agent was only authorized to deal in mortgages for a different mortgage brokerage, contrary to sections 43(2) and 44(2) of Ontario Regulation 188/08 under the Mortgage Brokerages, Lenders and Administrators Act, 2006. It also alleges that Mammone caused MIC Financial to engage in this conduct, contrary to section 3 of Ontario Regulation 187/08. FSRA is proposing two administrative penalties totalling CAD 300,000 against MIC Financial and one administrative penalty of CAD 20,000 against Mammone. MIC Financial and Mammone have requested a hearing before the Financial Services Tribunal regarding the proposal.