A former Rouge Valley hospital clerk avoided jail time on Monday for selling thousands of confidential maternity patient records to RESP firms.

Shaida Bandali, 62, who pleaded guilty in August to selling securities without a licence, was given a $36,000 fine, two years of probation and 300 hours of community service by Ontario Court Justice Kathleen Caldwell.

Bandali earned about $12,000 selling the records over the course of four years, court heard.

Ontario Securities Commission (OSC) prosecutor Cameron Watson wanted a 90-day jail sentence, to be served intermittently, telling court in October that Bandali’s conduct was “selfish, greedy and delivered over a long period of time.”

Her lawyer, John Sheard, asked for a $20,000 fine.

“I find that jail is too harsh but, on the other hand, the $20,000 fine is too lenient,” Caldwell said. She noted that Bandali will owe $45,000 in total given a 25 per cent surcharge that is added administratively.

She found Bandali, who has no criminal record, breached the trust that an employer has in its employees, as well as the trust patients have in hospital staff, noting the victims — new mothers — were particularly vulnerable.

Bandali declined to comment outside the courtroom. Her lawyer said the sentence was fair.

“She’s profoundly remorseful and she regrets what she did and wants to move on with her life,” Sheard said.

Bandali worked at Rouge Valley from 1995 to 2014. She accessed confidential maternity-ward records, including the names and contact information of mothers as well as the names and birthdates of their babies.

She then sold them for between $1 and $2.75 each to salespeople of registered education savings plans, according to an agreed statement of facts read out in court when she entered her guilty plea.

Bandali admitted to stealing 12,595 maternity records and providing them to Poly Edry, branch manager at Knowledge First Financial in Thornhill, who allegedly peddled RESPs to new mothers.

“Some of the mothers described high-pressure sales tactics such as repeated phone calls,” from representatives of Edry’s branch, Caldwell said.

The OSC case against Edry is ongoing and Knowledge First has terminated her employment, according to Caldwell’s ruling. Her husband, Gavriel, allegedly assisted her and has been charged by the OSC with one count of unregistered trading.

While the charge against Bandali isn’t a criminal offence, she still faced a penalty of up to five years less a day in jail and a fine of up to $5 million for unregistered trading, which is a breach of the Securities Act.

A $412-million class-action lawsuit has been launched against Rouge Valley.

“Clearly the courts have taken privacy breaches very seriously, and it is a substantial sentence,” one of the plaintiffs’ lawyers, Michael Crystal, told the Star on Monday.

The proceedings against Bandali form part of a larger investigation into Toronto hospital data breaches.

Aside from the Edrys, the OSC has also charged a former assistant branch manager at C.S.T. Consultants Inc., Subramaniam Sulur, for purchasing records from Bandali.

Two other people — Scarborough Hospital nurse Esther Cruz and RESP broker Nellie Acar — are facing criminal charges, including bribery, in a separate case.

Loading... Loading... Loading... Loading... Loading... Loading...

Charges laid against hospital staff under the Personal Health Information Protection Act (PHIPA) for snooping have never resulted in a conviction.

Health Minister Eric Hoskins announced sweeping changes to the act in September following a Star investigation, including doubling the maximum fine for individuals from $50,000 to $100,000.