The Globe and Mail reports in its Tuesday, May 28, edition that the former chief financial officer of now-defunct Octagon Capital has been permanently banned by the Investment Industry Regulatory Organization of Canada and fined $10,000. The Globe's Alexandra Posadzki writes that Mr. Everest admitted that he failed to ensure the company's risk-adjusted capital and other financial circumstances were accurately reported. Risk-adjusted capital is a measure of a firm's capital that has been adjusted for regulatory purposes according to a specific formula. IIROC requires all of its dealer members to maintain risk-adjusted capital greater than zero, and firms must immediately inform the regulator if the measure turns negative. It is one of IIROC's early warning indicators that a firm's capital, profitability or liquidity are stressed. Octagon Capital was launched in 1993 and at one point employed more than 100 people. The firm declared bankruptcy in late 2015 after IIROC discovered it was capital-deficient and suspended its membership. IIROC said it now considers the matter concluded. Greg Temelini, the lawyer representing Mr. Everest, said his client is happy to have put the matter behind him.