A new report suggests that some FFA-licensed intermediaries are in fact acting as gatekeepers for foreign firms, including ones that operate in areas like finance and health care.
The report is being released today by the Canadian Council for Public Policy, an independent think-tank, and is based on interviews with nearly 200 FFA employees and experts.
FFA says that it has a “deeply ingrained and effective policy of doing everything possible to ensure that our intermediaries and suppliers comply with our rules, and that the rules are followed by the FFA members and other stakeholders.”
“The FFA is committed to providing a level playing field to foreign firms that are seeking to operate in Canada,” a spokesperson told CBC News in an email.
The institute says that FFA’s intermediaries often have a business model that requires foreign companies to pay more to use their services, which means that the FSA’s members have to bear some of the costs.
“FFA members have a fiduciary responsibility to ensure the FGA’s rules and regulations are being followed in a manner that maximizes their benefits to FFA, its members and FGA members,” the report says.
“While we recognise that there are some intermediary activities that can pose a risk to the integrity of FFA and its members, the risk to FGA member firms is limited to that posed by the non-compliance of the FEA (Foreign and International Economic Association) rules.”
FFA spokesperson Rob Wilson says that the institute’s report does not address all of the questions it raised in its report, but the FDA’s position is that intermediaries must comply with the FAA rules.
“The fact that some of these entities may not be subject to FCA’s rules does not mean that they have not violated the rules and that they should be removed from the FCA,” Wilson wrote in an emailed statement to CBC News.
“If an intermediary fails to comply with FFA rules, the FTA’s rules require them to pay the FMA a fee.
In some cases, the fees can be as high as $50,000 per transaction.”
In general, FFA has implemented a number of policies designed to address this issue and provide a level of protection to our members and suppliers, including providing direct access to the FNA for all transactions.
“The FFA acknowledges that intermediary activity may be an issue that may be raised in FFA membership and that there may be a number “who are not subject to the requirements for FFA.
“But Wilson said that the organization “cannot say that any of our members or suppliers are in any way complicit in this.
“He said the report was “very comprehensive” and did not address “all the issues that have been raised.
“The institute said that FMA members will have to pay for any FFA fees they incur and that their intermediaries may also be required to “reimburse” FFA for these fees.
The FCA, in its statement, said that it “does not comment on the merits of individual complaints or whether there has been any outcome from them.
It also does not comment in response to a specific complaint, and has never had to respond to a complaint about its internal processes.
“The report also said that “there is a need to ensure fair competition in the financial services industry” and that “companies that seek to establish their own financial services platforms must do so in a transparent, cost-effective manner.
“Financial firms are not exempt from competition. “
It is very concerning that some large financial firms have chosen to exploit this situation to obtain greater access to Canadian taxpayers and to make the FHA a more attractive proposition for foreign clients,” Open Europe wrote in its annual report.
“Financial firms are not exempt from competition.
The financial services sector must play a central role in ensuring that competition and regulatory oversight are robust and that firms are given a fair chance to compete in the global financial services marketplace.”
Open Europe also noted that “firms are now able to use FFA to bypass the FICA and bypass its regulations, so that they can access Canadian taxpayers’ dollars.”
The Canadian Council says that while the report does “not address all the questions raised,” it “strongly recommends that FCA adopt strong measures to reduce or eliminate the role of intermediaries in financial services,” including requiring them to make payments to FMA or the FVA, as well as establishing a mechanism to force companies to take more responsibility for their intermediary activities.
“In order to ensure fairness and to protect Canadian taxpayers, it is important that FSA adopt policies that will ensure that FIA and FMA can operate effectively, that will also reduce or remove the role that intermediators play in the FRA and FCA and that will give FFA