Kevin Douse, a former Orillia financial advisor who pleaded guilty to defrauding 25 clients of nearly $2 million, appeared before the Canadian Investment Regulatory Organization (CIRO) this week. He told the panel he has no resources to retain a lawyer for his regulatory proceedings, as his assets remain frozen following his conviction.
An Orillia financial advisor already convicted of defrauding clients out of more than $1.8 million is now facing regulatory action while also preparing for sentencing in his criminal case.
Kevin Douse, 41, appeared this week before a Canadian Investment Regulatory Organization (CIRO) hearing panel, where he explained he does not have the money to retain counsel for the proceedings. Douse claimed his assets are frozen, leaving him reliant on family to potentially fund legal representation.
The regulatory hearing comes just three weeks after Douse pleaded guilty to multiple counts of fraud and forgery. Between 2016 and 2023, he solicited cheques from clients — including life savings and retirement funds — but deposited the money into his personal accounts rather than investing it on their behalf.
In all, 25 victims were defrauded, including a woman battling cancer who gave Douse $145,000 and later passed away before his arrest. Douse admitted to misappropriating client funds while working for the now-defunct Orillia-based WLTH Inc.
CIRO has alleged that Douse “misappropriated or otherwise failed to account for monies obtained from clients and other individuals” and that he failed to cooperate with its investigation. Douse told the panel he had been unable to engage with CIRO while dealing with his criminal charges.
In addition to his guilty plea, Douse faces civil lawsuits from former clients and his former employer. His regulatory matter continues with a follow-up hearing scheduled next week, while sentencing submissions in his criminal case are expected early in the new year.
