Ms. Elisa F. Linuzzi - June 22, 2015

Ms. Elisa F. Linuzzi - June 22, 2015

Discipline Summary

June 22, 2015

Complaint

CGA-BC received a complaint from a member of the public with respect to now former member Elisa F. Linuzzi, regarding a partnership they had for a daycare business.

Decision

The CGA-BC Discipline Committee found, and the CGA-BC Appeals Committee confirmed, that Ms. Linuzzi was not in breach of CGA-BC’s Code of Ethical Principles and Rules of Conduct, in effect from October 1, 2005, as follows: 

Rule R106 – Reporting of Acts Detrimental to the Profession as there was insufficient evidence to support a breach finding; and, Rule R607.1 – Criminal and Similar Offences as this rule was not applicable on the facts of this case.

The CGA-BC Discipline Committee found, and the CGA-BC Appeals Committee confirmed, that Ms. Linuzzi was in breach of CGA-BC’s Code of Ethical Principles and Rules of Conduct, in effect from October 1, 2005, as follows: 

Rule R101 – Discredit as there were several matters which Ms. Linuzzi knew, or which a reasonably prudent person would believe, would be of a nature likely to discredit the profession, including:

  • The Court Order of April 27, 2012 wherein the Court determined that the funds obtained by Ms. Linuzzi were by means of fraud, embezzlement, misappropriation or defalcation while acting in a fiduciary capacity, within the meaning of s. 178(1)(d) of the Bankruptcy and Insolvency Act, and for a debt or liability resulting from obtaining property or services by false pretences or fraudulent misrepresentation within the meaning of s. 178(1)(e) of the Bankruptcy and Insolvency Act; 
  • The daycare accounting records were under her control and were not maintained in a manner reflective of the knowledge and training of a CGA; and, 
  • There was no partnership agreement setting out the contractual relationship between the partners.

Rule R102 – Unlawful Activity as the CGA-BC Discipline Committee accepted the Court findings of fact made against Ms. Linuzzi as prima facie proof of those facts; and, Ms Linuzzi breached her fiduciary duty, owed to her partner and the partnership, for personal gain at the detrimental consequences of others; 

Rule R402 – Association with Financial Information and Rule R403 – Known Omission because as a CGA, and in her agreed partnership role, it was Ms. Linuzzi's duty and obligation to ensure the financial records were complete, filed in an orderly fashion, and recorded in a timely basis;  Ms. Linuzzi was responsible for any financial information that was omitted; Ms. Linuzzi failed to disclose she was not paying daycare tuition for her son, and had manipulated daycare records to conceal her non-payment; and, she filed a registration document with the BC Ministry Finance declaring a second daycare location as a sole proprietorship, but used the partnership business number, which was contradictory and misleading. 

The CGA-BC Appeals Committee varied the finding of breach ordered by the CGA-BC Discipline Committee against Ms. Linuzzi, and found Ms. Linuzzi not in breach of CGA-BC’s Code of Ethical Principles and Rules of Conduct, in effect from October 1, 2005, as follows: 

Rule R608 – Bankruptcy as Ms. Linuzzi was given the benefit of the doubt regarding her statements that she advised the Association of her bankruptcy proceedings.

Discipline Order by the Appeals Committee

  • Expelled from membership; and,
  • Assessed costs of $12,451.73.