Every month we release an Enforcement Roundup. We cover British Columbia Securities Commission (BCSC) regulatory cases and report on other self-regulatory organizations’ decisions when pertinent. From time-to-time, we also cover criminal cases related to our decisions or investigations.
This Enforcement Roundup contains two BCSC enforcement decisions.
For more detailed information on the cases listed below, click the links to view the news release, which is available at bcsc.bc.ca.
A BCSC panel fined and permanently banned Rush from the province’s capital markets for fraud and illegally distributing securities.
Rush must pay to the Commission $60,410, the amount determined to be the difference between the monies invested and the purported returns paid to the investor. As there was a clear co-mingling of the funds between Rush and Breakthrough Financial, the panel ordered that they be joint and severally liable for this amount. The panel also ordered that Rush pay an administrative penalty of $200,000.
Breakthrough Financial was permanently cease-traded by the panel.
A BCSC panel fined and permanently banned Nelson from BC’s capital markets for fraud, illegally distributing securities, and lying to a commission investigator.
The panel ordered that Nelson pay to the commission $18.5 million, the amount determined to be the difference between the monies deposited by the investors pursuant to the fraud, and the monies paid out to them. The panel also ordered that Nelson pay an administrative penalty of $18.5 million.
In July, the BC Securities Commission (BCSC) issued seven notices of hearing and seven enforcement decisions. The Investment Industry Regulatory Organization of Canada (IIROC) released one enforcement decision and three settlement agreements relating to BC residents. The Mutual Fund Dealers Association (MFDA) did not release any decisions or settlement agreements during July relating to BC […]