Advertisement

Foreign exchange class action lawsuit against BMO certified by court

TORONTO – A class-action lawsuit against BMO Nesbitt Burns, BMO Investorline and BMO Trust Company (TSX:BMO) has been certified by the Ontario Superior Court.

The suit accuses BMO of automatically converting any foreign currency that was paid into RRSP accounts into Canadian dollars without authorization.

It further alleges that BMO charged undisclosed or inadequately disclosed and unauthorized fees related to the foreign currency transactions.

Get expert insights, Q&A on markets, housing, inflation, and personal finance information delivered to you every Saturday.

Get weekly money news

Get expert insights, Q&A on markets, housing, inflation, and personal finance information delivered to you every Saturday.
By providing your email address, you have read and agree to Global News' Terms and Conditions and Privacy Policy.

None of the allegations have been proven in court.

BMO said it was disappointed with the decision and that it would defend the case, but declined further comment because it was before the courts.

The Income Tax Act allowed foreign currency to be held in a registered account after June 14, 2001.

The case is seeking reimbursement of the foreign exchange fees charged on the purchase and sale of foreign investments held in registered accounts and the fees paid related to the conversion of foreign currencies that were paid into the registered accounts.

Advertisement

Sponsored content

AdChoices