David Knight

The applicant real estate investment trust and its subsidiary sought exemptive relief from prospectus, dealer registration, continuous disclosure, and other requirements in connection with a proposed reorganization.

The reorganization would result in the units of the trust and the subsidiary trading together as stapled units.

The Ontario Securities Commission granted the requested relief, subject to conditions including that the units remain stapled and that combined financial statements be filed.

The applicant, a French issuer, applied for exemptive relief from the dealer registration and prospectus requirements under the Securities Act in connection with a global employee share offering.

The offering involved the use of collective employee shareholding vehicles (FCPEs) and could not rely on the standard employee exemption because shares were offered through the FCPEs rather than directly.

The Ontario Securities Commission granted the requested relief, subject to conditions including restrictions on the first trade of the acquired units or shares.

The respondent, a U.S.-based internet securities firm, traded U.S. securities on behalf of Canadian residents without being registered in any Canadian jurisdiction.

The respondent acknowledged the breach, which it claimed was due to a good faith but erroneous belief that its non-solicitation of Canadian residents exempted it from registration.

A joint hearing of multiple provincial securities commissions was held to consider a settlement agreement.

The commissions approved the settlement agreement, which included a payment of $550,000 CAD and an undertaking by the respondent's Canadian affiliate to seek registration, finding the sanctions to be in the public interest and proportionate to the misconduct.