News Release

Vancouver -- The B.C. Securities Commission has issued sanctions against the remaining principal of Canadian Global Investment, the Langley-based mutual fund dealer that sold $20 million in “speculative, illiquid and highly risky” securities to almost 200 conservative clients.

In its decision, the BCSC banned Robert Pierre Lamblin from trading in the securities markets and from registering under the Securities Act for 15 years. Should he seek registration after the ban, he would be required to be under strict supervision for one year. Lamblin is also prohibited from becoming or acting as an officer or director of any issuer for at least 15 years. The Commission deferred ordering an administrative penalty against Lamblin until he provides further information.

Lamblin and the late Danny Francis Bilinski were the key players directing the business of the mutual fund dealer and the Canadian Global Financial group of companies. Canadian Global Financial was the parent company of the Canadian Global “financial conglomerate” though which the mutual fund dealer and several of the related companies carried on business. As the founder of the Canadian Global Financial group of companies, Bilinski was principally responsible for developing and directing the group’s business and affairs.

In the January 2002 decision, a commission panel ruled that the mutual fund dealer, its principals, including Lamblin and Bilinski, and some salespeople violated the “conflict of interest”, “fair dealing”, “know your client” and “suitability of investment” rules in selling speculative, illiquid and highly risky securities to clients. The commission found this conduct particularly abusive because the securities sold were in companies in which Lamblin and Bilinski held an interest and participated in management.

Bilinski and Lamblin sold over 80% of the securities and most of the clients’ money was lost.

Canadian Global Investment is insolvent and has not been registered as a mutual fund dealer since February 15, 2001. The Commission permanently removed Canadian Global Investment from the securities markets.

In addition, the commission permanently cease-traded the securities of Canadian Global Financial and Private Ventures. Both companies had distributed securities to the public without a prospectus.

In November 2002, the commission issued orders against four other individuals involved in the companies, including Leonard William Friesen. Friesen was a mutual fund salesperson who sold some of the high-risk securities. Friesen was banned from trading for two years, prohibited from becoming a registrant for at least two years and ordered to pay a $20,000 penalty. Friesen asked the commission to set aside the $20,000 penalty it had previously ordered. The Commission deferred reconsidering the administrative penalty against Friesen until he provides further information.

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 decision 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.