Quebec's financial services regulator is looking into what it believes may be a Ponzi scheme run by an unlicensed securities adviser in Montreal.

The Autorité des marchés financiers, or AMF, suspects Carole Morinville of bilking $1.5 million from 28 clients between 2007 and 2010.

The regulator asked a Quebec tribunal to investigate Morinville and her husband Robert Diano, and both have been forbidden from handling investments.

However, no criminal charges have been laid.

Quebec's financial services regulator has frozen the assets of Carole Morinville, an unlicensed securities advisor. (CBC)

"We think it's probably a Ponzi scheme," said AMF spokesman Louis Beauchamp.

The regulator has frozen Morinville's assets, but has only recovered $1,000 of the $1.5 million she handled for clients.

"She obtained the confidence of her clients, through the years, and also she promised a return of investment of between five and 15 per cent," said Beauchamp.

Beauchamp said the investigation is complicated by the fact that Morinville did not keep any financial records or documents.

Past troubles

Morinville, a licensed insurance broker, has been fined or suspended by Quebec's professional order of financial planners and insurance brokers three times in the past seven years.

Last month, the order barred the unlicensed securities adviser from operating, following complaints from two of her clients. A hearing is scheduled for the fall.

Morinville also pleaded guilty to five counts of fraud in December 2009 after Quebec actor Denis Bouchard lodged a complaint.

She was fined $27,000 and suspended for a month.

Morinville was reprimanded by the professional order for the first time seven years ago. She pleaded guilty to 24 counts of fraud and was fined another $22,000.

With files from The Canadian Press