The Financial Services Regulatory Authority of Ontario has initiated enforcement action against Robert Brock Frost and Capitis Mortgage Investment Corp over alleged breaches of Ontario mortgage brokering and administration rules. The regulator is proposing to refuse renewal of Frost's mortgage broker licence, refuse the surrender and revoke Capitis' mortgage administrator licence, issue a compliance order against both parties, and impose an administrative penalty of CAD 50,000 on Frost. FSRA alleges that Frost dealt in mortgages for remuneration outside his registered mortgage brokerage, contrary to subsection 2(3) of the Mortgage Brokerages, Lenders and Administrators Act, 2006. It also alleges that Capitis breached the act and related regulations in the operation of its mortgage administration business, including misuse of its trust account and mishandling of mortgage funds, contrary to sections 23(1), 35 and 37 of Ontario Regulation 189/08. Frost and Capitis have requested a hearing before the Financial Services Tribunal on FSRA's proposal.
Financial Services Regulatory Authority of Ontario2026-07-07
Financial Services Regulatory Authority of Ontario seeks licence refusals and a CAD 50000 penalty in action against Robert Brock Frost and Capitis Mortgage Investment Corp
The Financial Services Regulatory Authority of Ontario has started enforcement action against Robert Brock Frost and Capitis Mortgage Investment Corp over alleged mortgage brokering and administration breaches. FSRA is seeking licence refusals or revocation, a compliance order against both parties, and a CAD 50,000 administrative penalty on Frost. Both have requested a hearing before the Financial Services Tribunal.