The Globe and Mail reports in its Thursday edition that a Calgary investor is suing TD Waterhouse, saying that the institution failed to stop fraudulent trades that caused him a loss of $4.5-million. The Globe's Erica Alini writes that Tim Tycholis, owner of Tykewest Ltd., a small oil and gas company in Alberta, said the alleged fraud wiped out most of his retirement funds. A statement of claim filed by his lawyers alleged that someone gained access to two of his TD Direct Investing accounts in mid-February while he was vacationing in Hawaii. The fraudsters sold most of his investments and bought more than $5-million worth of a thinly traded Hong Kong stock whose value collapsed shortly thereafter, leaving Mr. Tycholis with a multimillion-dollar loss, the lawsuit alleges. In its statement of defence, TD denied liability and said Mr. Tycholis executed or authorized the trades himself or else failed to keep access to his accounts secure. The lawsuit underscores the complexity of establishing when an investing fraud has occurred and, if it has, who should bear responsibility for it. TD calls phishing and fraud schemes a "persistent threat" for individuals and businesses and does its best to safeguard customer accounts.