Christina Galbraith

Staff of the Ontario Securities Commission applied for an inter-jurisdictional enforcement order against the respondents under subsection 127(10) of the Securities Act, based on a decision of the Alberta Securities Commission (ASC).

The ASC had found that the respondents illegally distributed shares and engaged in fraudulent conduct by misappropriating investor funds, including funds from Ontario investors.

The Capital Markets Tribunal found that the statutory threshold was met and that it was in the public interest to protect Ontario investors by reciprocating the ASC's order.

The Tribunal issued a protective order imposing permanent and long-term market prohibitions on the respondents.

The respondents raised approximately $170,600 from 90 investors through a fraudulent scheme involving a purported cryptocurrency mining company.

The Ontario Securities Commission found that the investments were 'securities' and that the respondents engaged in unregistered trading and illegal distribution.

The respondents made false representations about the business, use of funds, and expected returns, and misappropriated the funds for personal use.

The individual respondent also misled Staff and breached confidentiality during the investigation.

The Commission ordered permanent market bans, disgorgement of $170,600, an administrative penalty of $500,000, and costs of $100,000.

Staff of the Ontario Securities Commission and the respondent, the former CEO of Inspiration Mining Corporation, sought approval of a settlement agreement.

The respondent admitted to issuing false and misleading press releases regarding purported negotiations in the cannabis industry and engaging in improper insider trading by selling shares while in possession of material undisclosed facts, realizing a gain of approximately $100,000.

He also failed to file required insider reports.

The Commission approved the settlement, finding the agreed sanctions—including a ten-year market ban, disgorgement of $97,070.82, an administrative penalty of $92,929.18, and $10,000 in costs—to be a reasonable response to the serious misconduct and in the public interest.

Following a merits decision finding that the respondents engaged in unregistered trading, illegal distribution, and securities fraud, the Ontario Securities Commission held a hearing to determine sanctions and costs.

The respondents brought a preliminary motion seeking the panel chair's recusal for bias, which was dismissed as it merely reflected disagreements with findings from the merits hearing.

The Commission found that the respondents raised over $267,000 from investors through fraudulent misrepresentations and misappropriated the funds for personal use.

The Commission ordered permanent market bans with limited carve-outs for personal registered accounts, administrative penalties totaling $650,000, full disgorgement of $267,203, and costs of $267,806.59 apportioned among the respondents.

The applicant sought a hearing and review of an IIROC hearing panel's decisions on merits and sanctions.

The IIROC panel had found that the applicant engaged in personal financial dealings with a client and made false and misleading representations to his firm, resulting in a two-year suspension, fines, and disgorgement.

The Commission dismissed the application, finding that while the IIROC panel erred in its analysis of the transition rules regarding a repealed rule, the rule remained applicable to the applicant's conduct.

The Commission found no other errors of law or incorrect principles in the IIROC panel's findings of fact, its conclusion that the applicant's statements were false and misleading, or its sanctions order.

Staff of the Ontario Securities Commission alleged that the respondents engaged in unregistered trading, illegal distribution, and fraud in relation to the sale of shares in Natural Bee Works Apiaries Inc. The Commission found that the respondents made fraudulent misrepresentations to investors, including false claims about an imminent NASDAQ listing, a $200 million line of credit, and substantial assets.

The respondents also misused investor funds for personal expenses.

The Commission concluded that all respondents committed fraud, and that Ms. Chickalo and the company engaged in unregistered trading and illegal distribution.

The Commission declined to make separate findings for misleading statements and prohibited listing representations to avoid overlapping contraventions.

The Respondents engaged in unregistered trading of securities in a mortgage investment entity and failed to ensure the investments were suitable for their clients.

Upon discovery, the Respondents cooperated with Staff, voluntarily ceased trading, and offered rescission to investors who made unsuitable investments.

The Ontario Securities Commission approved a joint settlement agreement, imposing a reprimand, an administrative penalty of $100,000, and conditions regarding future redemption requests.

The Ontario Securities Commission approved a settlement agreement between Staff and AlphaNorth Asset Management, along with its President and CEO, Steven Douglas Palmer.

The respondents admitted to breaches of Ontario securities law, including failing to obtain necessary approvals for changes that resulted in unauthorized performance fees, failing to make proper disclosure, and failing to maintain adequate internal controls.

The settlement included administrative penalties totaling $247,000, costs of $10,000, reprimands, and a requirement for Palmer to complete a compliance educational program.

The appellants appealed a merits decision and a sanctions decision of the Ontario Securities Commission.

The Commission had found that a set of contracts marketed as a tax planning vehicle constituted an 'investment contract' and therefore a 'security' under the Securities Act.

The Commission concluded that the appellants breached the Act by selling these securities without being registered and without filing a prospectus, imposing trading bans, administrative penalties, and costs.

The Divisional Court applied a reasonableness standard of review and dismissed the appeal, finding that the Commission's application of the test for an investment contract was reasonable and that the sanctions imposed were proportionate and justified.

Staff of the Ontario Securities Commission sought an inter-jurisdictional enforcement order against the respondents under subsection 127(10) of the Securities Act, based on a prior order by the Alberta Securities Commission.

The ASC had found that the respondents engaged in unregistered trading, advising, and fraud.

The Ontario Securities Commission found that the statutory threshold was met and that it was in the public interest to issue a protective order.

The Commission ordered market-access bans and other restrictions against the respondents to protect Ontario's capital markets.

Staff of the Ontario Securities Commission sought an inter-jurisdictional enforcement order against the respondents under s. 127(10) of the Securities Act, based on a prior decision of the British Columbia Securities Commission.

The BCSC had found that the respondents perpetrated a fraud of approximately $1.4 million on nine investors.

The Commission found that the threshold under s. 127(10) was met and that it was in the public interest to issue a protective order.

The Commission ordered permanent bans on trading, acquiring securities, and acting as a director, officer, registrant, or promoter against the respondents.

Staff of the Ontario Securities Commission brought an expedited proceeding seeking a reciprocal protective order against the respondent under subsection 127(10) of the Securities Act.

The respondent had previously entered into a settlement agreement with the Nova Scotia Securities Commission, admitting to acting as an adviser without registration.

The respondent consented to the Ontario order.

The Commission granted the order, imposing trading bans, exemptions bans, and director/officer prohibitions mirroring the Nova Scotia order to the extent possible under Ontario law.

The respondent, a former CEO and Ultimate Designated Person of a registered firm, made materially misleading statements under oath to Commission Staff during an investigation into the misuse of insider information.

Staff and the respondent reached a settlement agreement which included a $125,000 administrative penalty, $10,000 in costs, and a two-year ban from participating in the capital markets.

The Commission approved the settlement agreement, finding that the respondent's conduct constituted a serious breach of Ontario securities law and that the agreed sanctions fell within the range of reasonable outcomes and were in the public interest.

Staff of the Ontario Securities Commission applied for a reciprocal order under subsection 127(10) of the Securities Act based on a decision of the British Columbia Securities Commission.

The BCSC had found that the respondents engaged in a 'pump and dump' market manipulation scheme and imposed permanent market prohibitions and administrative penalties.

The respondents did not participate in the written hearing.

The Commission granted the reciprocal order, imposing permanent trading and registration bans with minor modifications to the carveouts to protect Ontario investors.

Staff of the Ontario Securities Commission sought an inter-jurisdictional enforcement order against the respondent under subsection 127(10) of the Securities Act.

The respondent had previously entered into a settlement agreement with the Alberta Securities Commission, admitting to unregistered trading, illegal distributions, and misrepresentations.

The Ontario Securities Commission found that the statutory threshold was met and that it was in the public interest to issue a reciprocal order.

The Commission ordered trading and market-access bans against the respondent until December 19, 2027, substantially mirroring the sanctions agreed to in Alberta.

Staff of the Ontario Securities Commission sought an inter-jurisdictional enforcement order under subsection 127(10) of the Securities Act against the respondents, based on a prior order of the British Columbia Securities Commission (BCSC).

The BCSC had found that the respondents engaged in illegal distributions of securities and imposed market-access bans and an administrative penalty.

The Ontario Securities Commission granted the application, finding that the statutory threshold was met and that it was in the public interest to impose reciprocal protective and preventive sanctions, including permanent market-access bans against the corporate respondents and time-limited bans against the individual respondent, to protect Ontario's capital markets.

Staff of the Commission and the respondent reached a settlement agreement regarding allegations of insider tipping, making misleading statements to Staff, and breaching the confidentiality of an investigation.

The respondent admitted to tipping a colleague about material undisclosed facts regarding a public company, lying under oath, and disclosing his compelled examination.

The Commission approved the settlement, which included a six-year ban on trading and acting as a director or officer, a $350,000 administrative penalty, and $50,000 in costs.

The Commission found the settlement fell within the range of reasonable outcomes and was in the public interest, noting mitigating factors such as the respondent's loss of employment and agreement to cooperate with Staff.

Staff of the Ontario Securities Commission sought an inter-jurisdictional enforcement order against the respondent under subsection 127(10) of the Securities Act, based on a prior decision of the Alberta Securities Commission (ASC).

The ASC had found that the respondent engaged in illegal distributions of securities and made misleading statements to investors, imposing permanent market-access bans and financial penalties.

The Commission found that the threshold for a reciprocal order was met and that it was in the public interest to protect Ontario capital markets.

The Commission ordered permanent trading and market-access bans against the respondent, substantially mirroring the ASC's sanctions.

The British Columbia Securities Commission (BCSC) found that the respondent perpetrated a fraud on investors by diverting funds for personal use and imposed sanctions including trading bans and financial penalties.

Staff of the Ontario Securities Commission sought a reciprocal protective order under subsections 127(1) and 127(10) of the Securities Act.

The Commission granted the order, finding it necessary to protect Ontario capital markets, and permanently prohibited the respondent from trading in securities, acting as a director or officer, or acting as a registrant or investment fund manager.

The respondent brought a motion to adjourn the hearing on the merits pending his appeal to the Divisional Court regarding a dismissed motion for a stay based on solicitor-client privilege.

Staff opposed the adjournment, citing its pending motion to quash the appeal.

The Commission found that proceeding with the hearing would not significantly expedite the matter, as the majority of the hearing would occur in September regardless of the outcome of Staff's motion.

The motion to adjourn was granted, and the hearing was rescheduled to September.