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FSRA issues notice of proposal against K. Banx Mortgages Ltd., Fahima Kashani, Soheil Kashani, and Daniel Kashani

The Financial Services Regulatory Authority of Ontario (FSRA) has initiated enforcement action against K. Banx Mortgages Ltd. (K. Banx), Fahima Kashani (Fahima), Soheil Kashani (Soheil), and Daniel Kashani (Daniel).

FSRA alleges that K. Banx contravened the Mortgage Brokerages, Lenders and Administrators Act, 2006, S.O. 2006, c.29, as amended (the Act) and its regulations as follows:

  • by failing to take reasonable steps to ensure that the mortgage presented to a borrower was suitable, contrary to section 24(1) of Ontario Regulation (O. Reg.) 188/08; and
  • by failing to keep complete and accurate records of its mortgage activities in Ontario, contrary to section 46(1) of O. Reg. 188/08.

FSRA alleges that Fahima contravened the Act and its regulations as follows:

  • by failing to take reasonable steps to ensure the compliance of the brokerage, its brokers, and agents; contrary to section 2(1) of O. Reg. 410/07; and
  • by hindering or obstructing FSRA in the performance of their duties under the Act, contrary to section 44(1) of the Act.

FSRA alleges that Soheil is unsuitable to be licensed, and contravened the Act and its regulations as follows:

  • by doing anything that might reasonably be expected to result in the brokerage contravening or failing to comply with a requirement established under the Act, contrary to section 3 of O. Reg. 187/08;
  • by assisting, or counseling another person to give false or deceptive information or documents when dealing or trading in mortgages, contrary to section 43(2) of the Act;
  • by making a false statement or providing false information on a licence renewal application, contrary to section 45(1) of the Act; and
  • by hindering or obstructing FSRA in the performance of their duties under the Act, contrary to section 44(1) of the Act.

FSRA also alleges that Daniel contravened the Act by giving, assisting, or counselling another person to give false or deceptive information or documents when dealing or trading in mortgages, contrary to section 43(2) of the Act.

FSRA is proposing to amend the mortgage broker licence issued to Fahima and to revoke the mortgage broker licence issued to Soheil.

FSRA is also proposing to impose administrative penalties in the amount of $20,000 on K. Banx, $20,000 on Fahima, $35,000 on Soheil, and $10,000 on Daniel.

K. Banx, Fahima, Soheil, and Daniel have requested a hearing before the Financial Services Tribunal about this proposal.

Learn more:

Access our enforcement database to see how FSRA is working to protect consumers through its monitoring and enforcement activities. 

For media inquiries:

Russ Courtney
Senior Manager of Media Relations
Financial Services Regulatory Authority
C: 437-225-8551
Email: [email protected]

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Enforcement Actions