February 16, 2018 8:46 am | Author: investright
In this edition of the Enforcement Roundup, we cover one British Columbia Securities Commission (BCSC) investor alert, a notice of hearing, two Mutual Fund Dealer Association of Canada (MFDA) panel decisions, and one MFDA settlement agreement.
BCSC Investor Alert
The BCSC is aware that Hable, a previously disciplined person, recently changed his name to Jacob Jason Volkmar Guido DeMedici (a.k.a. Jacob Jason DeMedici).
In June 2017, the BCSC found Hable, now DeMedici, contravened securities laws when he manipulated the shares of Samaranta Mining Corporation and submitted false information to a BCSC investigator. In November 2017, the BCSC permanently banned Hable from the B.C. capital markets and ordered him to pay penalties of over $555,000.
DeMedici has recent dealings with a B.C. company and purports to be the founder of DeMedici Capital Partners.
The Commission urges anyone who has had dealings with Hable or DeMedici in relation to securities activity to contact the BCSC inquiries line at 604-899-6854 or 1-800-373-6393 or through email at [email protected].
BCSC Notice of Hearing
The BCSC’s executive director issued a notice of hearing alleging that Gravelle and a B.C. based company he controlled breached the Securities Act when they issued promissory notes without registration and guaranteed repayment of the promissory notes.
You can find out more in the hearing file.
MFDA Panel Decision
In an agreed statement of facts, Gill admitted to contravening various MFDA bylaws, rules, and policies. He admitted to:
- signing the signatures of three clients on two Know-Your-Client forms and one account form
- completing the information on two Know-Your-Client forms without having met or discussing the information with the clients
- falsely representing to his branch manager that he had contacted clients and obtained their signatures on account forms when he knew this to be incorrect
The panel fined Gill $5,000 and ordered him to pay costs of $2,500. He is prohibited from conducting securities related business while in the employ of, or associated with, any MFDA Member for one year.
In an agreed statement of facts, Tay admitted to contravening various MFDA bylaws, rules, and policies. She admitted to:
- processing two redemptions based upon email instructions received from a third party, who gained unlawful access to a client’s email account and who misappropriated the proceeds of the redemptions
- misrepresenting to the Member that she had spoken with a client to confirm the client’s instructions to process a transaction
Following the submission, the panel fined Tay $5,000.
MFDA Settlement Agreement
In a settlement agreement, Stemshorn-Russell admitted that around June 2016 he cut and pasted client signatures from account forms previously signed by two clients onto two new account forms.
For his misconduct, Stemshorn-Russell is prohibited from conducting securities related business while in the employ of, or associated with, any MFDA Member for six months. He must also pay a fine of $2,500, costs of $2,500, and comply with MFDA rules in the future.
Report a Concern
If you have any concerns about a person or company offering an investment opportunity, please contact BCSC Inquiries at 604-899-6854 or 1-800-373-6393 or through e-mail at [email protected]. You can also file a complaint or submit a tip anonymous using BCSC’s online complaint form.
InvestRight.org is the British Columbia Securities Commission’s investor education website.