News Release
BCSC settles with 13 investment dealers who traded in shares of a company cease-traded by the commission
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Date:
2001-12-06 -
Number:
2001/63
Released: 12/06/01 Contact: Andrew Poon
NR 01-63 604-899-6880 or
(B.C. & Alberta) 1-800-373-6393
Vancouver – Thirteen investment dealers who admitted violating a B.C. Securities Commission cease trade order against the securities of Thermo Tech Technologies Inc. have agreed to pay $376,000 to the commission.
Under the settlement, $350,000 will go towards developing an electronic system that will enable the dealers to effectively implement cease trade orders for non-listed securities.
The dealers, all members of the Investment Dealers Association of Canada, are:
BMO Investorline Inc., Canaccord Capital Corp., CIBC Investor Services Inc., CIBC World Markets Inc., E*Trade Canada Securities Corp., Merrill Lynch HSBC Canada Inc., Pacific International Securities Inc., Royal Bank Action Direct Inc., Scotia Discount Brokerage Inc., TD Waterhouse Investor Services (Canada) Inc., Union Securities Ltd., Wolverton Securities Ltd., and Yorkton Securities Inc.
The commission imposed a cease trade order against Thermo Tech on July 14, 1999, after the company failed to issue a news release and a material change report about acquiring a 50 per cent interest in two Ontario transfer stations and waste management facilities. The cease trade order remains outstanding. Thermo Tech trades only on the Over-The-Counter Bulletin Board, an electronic quotation service provided by the National Association Of Securities Dealers in the U.S.
The 13 investment dealers said in their settlement that because of deficiencies in their internal control systems, their brokers bought and sold shares of Thermo Tech on behalf of their clients in violation of the orders. BCSC Executive Director Steve Wilson said the settlement calls for the new electronic system to be in place within a year.
"To be effective, this 'alert' system must be set up so that brokers are kept up to date on any orders outstanding against a company," Wilson said. "One of the best ways to do this may be by creating an interface between the BCSC database of orders and the order management systems the dealers use to buy and sell shares of companies."
The B.C. Securities Commission is the independent provincial government agency responsible for regulating trading in securities and exchange contracts within the province. Copies of the settlement agreement and related documents can be viewed in the documents database of the commission’s website www.bcsc.bc.ca or by contacting Andrew Poon, Media Relations, 604-899-6880.
NR 01-63 604-899-6880 or
(B.C. & Alberta) 1-800-373-6393
Vancouver – Thirteen investment dealers who admitted violating a B.C. Securities Commission cease trade order against the securities of Thermo Tech Technologies Inc. have agreed to pay $376,000 to the commission.
Under the settlement, $350,000 will go towards developing an electronic system that will enable the dealers to effectively implement cease trade orders for non-listed securities.
The dealers, all members of the Investment Dealers Association of Canada, are:
BMO Investorline Inc., Canaccord Capital Corp., CIBC Investor Services Inc., CIBC World Markets Inc., E*Trade Canada Securities Corp., Merrill Lynch HSBC Canada Inc., Pacific International Securities Inc., Royal Bank Action Direct Inc., Scotia Discount Brokerage Inc., TD Waterhouse Investor Services (Canada) Inc., Union Securities Ltd., Wolverton Securities Ltd., and Yorkton Securities Inc.
The commission imposed a cease trade order against Thermo Tech on July 14, 1999, after the company failed to issue a news release and a material change report about acquiring a 50 per cent interest in two Ontario transfer stations and waste management facilities. The cease trade order remains outstanding. Thermo Tech trades only on the Over-The-Counter Bulletin Board, an electronic quotation service provided by the National Association Of Securities Dealers in the U.S.
The 13 investment dealers said in their settlement that because of deficiencies in their internal control systems, their brokers bought and sold shares of Thermo Tech on behalf of their clients in violation of the orders. BCSC Executive Director Steve Wilson said the settlement calls for the new electronic system to be in place within a year.
"To be effective, this 'alert' system must be set up so that brokers are kept up to date on any orders outstanding against a company," Wilson said. "One of the best ways to do this may be by creating an interface between the BCSC database of orders and the order management systems the dealers use to buy and sell shares of companies."
The B.C. Securities Commission is the independent provincial government agency responsible for regulating trading in securities and exchange contracts within the province. Copies of the settlement agreement and related documents can be viewed in the documents database of the commission’s website www.bcsc.bc.ca or by contacting Andrew Poon, Media Relations, 604-899-6880.