BC Securities Enforcement Roundup – April 2015
Every month we release an Enforcement Roundup blog that highlights all of the notable securities law decisions relating to BC residents in the previous month. We cover our completed regulatory cases and report on other self-regulatory organization’s decisions when pertinent. From time-to-time, we will also cover criminal cases related to our decisions or investigations.
The April Enforcement Roundup contains four British Columbia Securities Commission (BCSC) enforcement decisions, as well as one Mutual Fund Dealers Association of Canada (MFDA) settlement agreement relating to a BC resident.
You can find a summary of some of the recent matters below:
The BCSC has settled with Morrice and Byrne after both men admitted to acting contrary to the public interest. In separate settlement agreements, Morrice and Byrne each admitted that they harmed the reputation and credibility of BC’s securities markets.
Morrice has agreed to resign from any position he holds as a director or officer of any issuer, and is banned from BC’s capital markets for twelve years. Byrne is also prohibited from BC’s capital markets for four years.
In a settlement agreement with the BCSC, Daniel Quo Ming Sam has admitted that he engaged in an illegal distribution of securities.
Sam has agreed to pay to the BCSC $29,469 in respect of settlement of this matter. He is also banned from participating in BC’s capital markets for five years.
In a settlement agreement with the BCSC, Downing has admitted that she engaged in an illegal distribution of securities.
Downing has agreed to pay to the BCSC the US $3,231 she earned in commissions. She is also prohibited from participating in BC’s capital markets for a period of three years.
BCSC Liability Decision: Robert Frederick Weicker and Amina Umutoni Weicker
A BCSC panel has found that Weicker tipped his wife, Umutoni Weicker, and she engaged in illegal insider trading.
The panel found that Weicker was in a special relationship with Geo Minerals Ltd. (he had signed a contract to be a consulting geologist with Geo), when he informed his wife of material information that had not been generally disclosed regarding the acquisition of that company.
In its notice of hearing, BCSC staff also alleged that Weicker engaged in illegal insider trading. The panel dismissed these allegations.
The panel will make its sanctions decision at a later date.
A MFDA Hearing Panel approved the settlement agreement between MFDA staff and Badasha.
Badasha has agreed to pay a fine in the amount of $5,000, and costs in the amount of $3,500. He is also prohibited from conducting securities related business for a period of two years.
Please visit the Canadian Securities Administrators’ Disciplined Persons List for information relating to persons disciplined by provincial securities regulators, the Investment Industry Regulatory Organization of Canada (IIROC) and the Mutual Fund Dealers Association of Canada (MFDA).