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OSC insider trading and tipping findings upheld against four appellants but overturned against one due to factual errors.
The appellants appealed a decision of the Ontario Securities Commission finding them liable for insider trading and tipping contrary to s. 76 of the Securities Act.
The Commission found that a corporate lawyer tipped an investment advisor about three corporate transactions, who then tipped others in a chain.
The Divisional Court upheld the findings against the lawyer and three of the investment advisors, finding the Commission's inferences from circumstantial evidence were reasonable.
However, the court allowed the appeal of one investment advisor at the end of the chain, finding the Commission made factual errors in concluding he ought reasonably to have known the information came from an insider.
The sanctions against the unsuccessful appellants were upheld.
Board of directors of non-share capital corporation lacked authority to amend by-law equivalent without member approval.
The Toronto Police Association (TPA) Board passed a resolution dissolving the Legal Assistance Plan Board and assuming its duties.
The respondents, members of the Plan Board, successfully applied for a declaration that the resolution was ultra vires.
The TPA appealed.
The Court of Appeal held that the regulation creating the Plan Board had the legal status of a by-law, and under the TPA's letters patent and section 129 of the Corporations Act, the TPA Board could not amend it without member approval.
The appeal was dismissed regarding the resolution's invalidity, but allowed in part to strike an overly broad mandatory order restraining the TPA Board from using the Plan Board's files for any purpose.
