Regulator’s crackdown on improper conduct continues
The Financial Services Regulatory Authority of Ontario (FSRA) has revoked the mortgage brokerage licence of Expert Financial Corporation and levied significant administrative penalties against the company and two individuals. This decision follows an investigation into unlicensed mortgage activities facilitated by the brokerage and its principal broker.
Expert Financial Corporation faces a total of $36,000 in administrative penalties, while Upanshuman Pandey, the former principal broker, has been assessed $32,000 in penalties. Varinder Singh Virk received a $2,000 administrative penalty. Pandey’s broker licence had expired in March 2025.
The FSRA investigation revealed that Pandey and Expert Financial facilitated Nasir Syed Zaidi Hussain in operating as an unlicensed mortgage agent. Hussain reportedly met with clients, gathered supporting documentation, and then passed this information to Pandey. Pandey would subsequently submit the mortgage applications and share brokerage fees with Hussain as commissions. Hussain did not request a hearing, and the FSRA has already issued orders against him.
“Licensees must not facilitate activities for unlicensed individuals,” stated Elissa Sinha, director of litigation and enforcement at FSRA. Sinha emphasized the regulator’s commitment to consumer protection, adding, “We will act decisively to ensure that consumers are advised by individuals who are properly licensed, and meet legal and professional standards.”
Pandey was found to have breached several sections of the Act and associated regulations. These breaches include facilitating the illegal operation of a non-licensee, failing to adequately verify borrower identities, which led to Expert Financial’s violation of record-keeping obligations, and providing false and misleading information to FSRA on the company’s Annual Information Returns regarding referrals and complaints.
Expert Financial Corporation was found to have facilitated the illegal activities of a non-licensee and failed to maintain complete and accurate borrower records. Virk, for his part, was penalized for dealing in mortgages for remuneration outside of his registered mortgage brokerage.
These orders by the FSRA are the result of settlements reached with Expert Financial, Pandey, and Virk.
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