News Release

Vancouver - A British Columbia Securities Commission (BCSC) panel has found that William Raymond Malone, a Richmond, B.C. resident, breached an order prohibiting him from acting as a director or officer of any issuer and engaging in investor relations activities.

The panel's decision states that on January 29, 2009, Malone entered into a settlement agreement with the BCSC. As part of the settlement, Malone was subject to an order prohibiting him from acting as a director or officer of any issuer and from engaging in investor relations activities before the later of January 29, 2012, or the date Malone successfully completed a course of study satisfactory to the executive director concerning the duties and responsibilities of directors and officers. 

During the time period when the order was in effect, the panel found that Malone breached the order by acting as a de facto director and/or officer of Lion King Resources Inc., a private B.C. company that was in the business of promoting and developing an iron ore property in the Atacama region of Chile.

In its decision, the panel stated, "the evidence overwhelmingly supports the conclusion that Malone was acting as a de facto director or officer of Lion King during the relevant time." The panel found that Malone acted as a de facto director or officer when he organized the creation of Lion King, had signing authority over corporate bank accounts, and negotiated for and secured rights to Lion King's Chilean property, among other things.

The panel also found that Malone breached the order by conducting investor relations activities on behalf of Lion King when he solicited a B.C. resident to purchase securities in Lion King. The investor testified that Malone introduced him to the investment opportunity and even showed him samples of sand containing iron ore taken from the property. In July 2010, the investor purchased 33,333 shares of Lion King for $5,000.

The panel directed the parties to make submissions on sanctions according to the schedule set out in the findings. 

You may view the findings on our website www.bcsc.bc.ca by typing William Raymond Malone or 2016 BCSECCOM 257 in the search box. Information regarding disciplinary proceedings can be found in the Enforcement section of the BCSC website.

Please visit the Canadian Securities Administrators' Disciplined List for information relating to persons and companies disciplined by provincial securities regulators, the Investment Industry Regulatory Organization of Canada (IIROC) and the Mutual Fund Dealers Association (MFDA).

About the British Columbia Securities Commission (www.bcsc.bc.ca)

The British Columbia Securities Commission is the independent provincial government agency responsible for regulating capital markets in British Columbia through the administration of the Securities Act. Our mission is to protect and promote the public interest by fostering:

• A securities market that is fair and warrants public confidence
• A dynamic and competitive securities industry that provides investment opportunities and access to capital

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Media Contact:

Alison Walker
604-899-6713 

Public inquiries:

604-899-6854 or 1-800-373-6393 (toll free)
inquiries@bcsc.bc.ca  

Learn how to protect yourself and become a more informed investor at www.investright.org