The plaintiff, a vulnerable widow with limited financial knowledge, sued the defendant for civil fraud after losing $250,000 USD of her life insurance proceeds in speculative options trading through the defendant's account.
The defendant, a computer-literate individual with investment knowledge, had promised the plaintiff's dying husband he would look after her and her children.
The court found the defendant committed civil fraud by taking advantage of the plaintiff's vulnerability and making reckless trades, despite his claims that the plaintiff directed the trades.
The court awarded compensatory damages of $192,000 USD and punitive damages of $25,000 CAD.
