Canada's Investment Dealers Association, the national self-regulatory organization and representative of the securities industry, announced on Friday that it was returning C$7.2 million ($5.9 million) to the fund companies Canadian regulators have accused of market timing.

The money is to be used by the fund companies to repay shareholders hurt by the practice. Four of the fund companies will receive a combined C$6.9 million. CI Mutual Funds Inc. will receive C$3.5 million, Franklin Templeton Investments will receive C$1.2 million, AIC Limited C$1.1 million, and AGF Funds Inc. C$1 million. The remainder of the money will be distributed to 13 other fund companies.

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