News Release

Vancouver - Victims of two cross-border investment schemes will get a portion of nearly $22.6 million US that the British Columbia Securities Commission froze in Vancouver bank and brokerage accounts.

After a review of claims by a court-appointed receiver and a settlement among the valid claimants, a B.C. Supreme Court judge ordered that most of the money - approximately $15.2 million US - go to the U.S. Securities and Exchange Commission (SEC) for distribution back to victims of illegal investment schemes connected to Edward Durante and Stephen Sayre.

The remaining funds went to other parties in partial settlement of their valid claims, except for approximately $1 million US that will be paid into the court pending a further order.

“The money that flows through international investment frauds often disappears,” said Brenda Leong, BCSC executive director. “In this case, collaboration between the BCSC and SEC will result in millions of dollars being returned to investors.”

In 2000, the BCSC froze the Vancouver bank account of Exchange Bank and Trust Inc. (EBT), a private investment bank based in Nevis, West Indies, and related accounts at several Vancouver brokerage firms. The BCSC alleged Durante and Sayre had violated U.S. and Canadian securities laws and deposited ill-gotten gains into the accounts.

The BCSC and SEC traced proceeds of manipulative trading by Durante and Sayre to the Vancouver accounts. The BCSC used this information to obtain the appointment of a receiver. The BCSC worked with the SEC during the court process to ensure money would flow back to investors.

In 2004, a BCSC commission panel issued permanent market bans and an administrative penalty against Durante. Sayre and Durante are both serving U.S. prison sentences.

The B.C. Securities Commission is the independent provincial government agency responsible for regulating trading in securities within the province. If you have questions, contact Ken Gracey, Media Relations, 604-899-6577.