Skip Navigation
About

News Release

Quesnel man fined $10,000 and banned from capital markets for 12 years

  • Date:

    2008-02-20

  • Number:

    2008/13

Vancouver - The British Columbia Securities Commission has settled with the former president and director of two companies who admitted to illegally distributing and misrepresenting approximately $6.6 million in securities to investors across Canada.

Gregory William Rivers, a Quesnel resident, was the president and director of Advanced Rescue Technologies Inc. (ARTI) and NOF Electrical Generation Inc. (NOF).

Between February 2002 and April 2005, the two companies distributed, directly and through agents, approximately $6.6 million in preferred shares to investors across Canada without being registered and without filing a prospectus. At least 27 British Columbia residents invested nearly $1 million in ARTI and NOF. As director and chief officer of the two companies, Rivers violated securities laws by allowing the distribution of shares to investors.

Rivers made misrepresentations to investors when he failed to disclose ARTI had paid almost $75,000 in commissions to Alvin Lee Johnson and VG Capital Group Inc., two parties named in a separate BCSC notice of hearing. Rivers also failed to disclose to NOF investors that the company had made over $4 million in interest-free, non-arm's length loans to individuals and companies, including ARTI. 

In the settlement agreement, Rivers agreed to pay $10,000. Rivers must, with limited exceptions, cease trading in securities, not become or act as a director or officer of any issuer, and not engage in investor relations for 12 years. Both ARTI and NOF must permanently cease trading and purchasing securities, and are permanently banned from future investor relations activities.

The executive director determined that Rivers, ARTI and NOF did not have the ability to pay the larger financial penalties that would have otherwise been required in the public interest.

The B.C. Securities Commission is the independent provincial government agency responsible for regulating trading in securities within the province. You may view the settlement on our website www.bcsc.bc.ca by typing in the search box, Gregory William Rivers or 2008 BCSECCOM 99. If you have questions, contact Ken Gracey, Media Relations, 604-899-6577.

Learn how to avoid investment fraud at the BCSC's investor education website: www.investright.org.