A Vancouver woman is suing TD Waterhouse Canada Inc. for approximately $389,000 plus interest for allowing orders in her accounts that she claims she never authorized.
Businesswoman Pearl Cheng broke the amounts she believes she is owed into US$260,407.94 and $34,829.85. When the amounts are consolidated into Canadian dollars, the amount is about $389,000.
Cheng claims that she had two joint accounts, a cash account in her own name and a tax-free savings account with TD Waterhouse (also known as TD Direct Investing) in 2021.
"Between Oct. 5, 2021 and March 9, 2022, TD Direct Investing caused or allowed incorrect, unauthorized or erroneous orders to be placed by an individual other than the plaintiff in one or more of the accounts," Cheng said in her Aug. 24 lawsuit filed in the Supreme Court of British Columbia.
Her lawsuit listed 23 transactions that she said she made, with most of them being deposits.
She then listed 15 transactions that she claims she did not authorize, with some of the transactions being a bundle of smaller transactions. Some of the disputed transactions involved share purchases or sales of shares in companies such as Moderna Inc. (Nasdaq:MRNA), Nvidia Corp. (Nasdaq:NVDA) and Tesla Inc. (Nasdaq:TSLA).
Cheng also alleges that TD Direct Investing "charged excessive interest and fees in the amount of US$48,546.57," as well as $2,211.44.
"On or around March 14, 2022, the aggregate balance of the USD funds in the accounts was unilaterally reduced from US$260,407.94 to zero by TD Direct Investing without the plaintiff sustaining trading losses, withdrawing or receiving the benefit of those funds in any way. This caused the plaintiff losses in the amount of US$260,407.94," Cheng alleges in her lawsuit.
"On or about Aug. 14, 2023, the balance of CAD funds in the accounts was unilaterally reduced from $27,358.05 to (-$7,471.80) by TD Direct Investing without either of the plaintiff (sic) making any trades, sustaining trading losses, withdrawing funds or receiving the benefit of those funds in any way. This caused the plaintiff losses in the amount of $34,829.85."
TD Waterhouse Canada Inc. has yet to file a statement of defence.
BIV asked TD for a comment and was sent an email that said: "We're unable to comment here, as this matter is before the courts."
