March 11, 2016 12:00 am | Author: investright
Every month we release an Enforcement Roundup. We cover
British Columbia Securities Commission (BCSC) regulatory cases and report on
other self-regulatory organizations’ decisions when pertinent. From time-to-time,
we also cover criminal cases related to our decisions or investigations.
This Enforcement Roundup contains two BCSC enforcement
For more detailed information on the cases listed below,
click the links to view the news release, which is available at bcsc.bc.ca.
A BCSC panel fined and permanently banned Rush from the
province’s capital markets for fraud and illegally distributing securities.
Rush must pay to the Commission $60,410, the amount
determined to be the difference between the monies invested and the purported
returns paid to the investor. As there was a clear co-mingling of the funds
between Rush and Breakthrough Financial, the panel ordered that they be joint
and severally liable for this amount. The panel also ordered that Rush pay an
administrative penalty of $200,000.
Breakthrough Financial was permanently cease-traded by the
A BCSC panel fined and permanently banned Nelson from BC’s
capital markets for fraud, illegally distributing securities, and lying to a
The panel ordered that Nelson pay to the commission $18.5
million, the amount determined to be the difference between the monies
deposited by the investors pursuant to the fraud, and the monies paid out to
them. The panel also ordered that Nelson pay an administrative penalty of $18.5