News Release

Vancouver - A former Vancouver mutual fund management company and its principal reached a settlement with the British Columbia Securities Commission after admitting to compliance deficiencies and violating securities regulations.

Raoul Noel Tsakok has agreed to pay the BCSC $45,000 with $5,000 representing investigation costs. Tsakok was registered as a director and officer of Sagit Investment Management Ltd., a Vancouver company that managed 16 mutual funds between 1986 and 2003. In 2003 Sagit ceased operations after it merged its mutual funds with those managed by another mutual fund manager.

Tsakok, who was responsible for the management of Sagit and who made all of the investment decisions for the mutual fund manager, admitted that he acted contrary to securities rules by acting as an officer, director and principal shareholder of a reporting issuer while registered as an advising director of Sagit.

Tsakok admitted that because of certain practices outlined in the settlement, he and Sagit failed to manage the company’s mutual funds with the degree of care, diligence and skill that a reasonable person would exercise in the circumstances.

A compliance review by BCSC staff in 2002 found that Sagit’s policies and procedures were incomplete, out of date and otherwise inadequate in respect of the business of mutual fund management.

As part of the settlement, Tsakok will not apply for registration as an advising or trading officer of a registrant.

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, Raoul Noel Tsakok or 2006 BCSECCOM 404. If you have questions, contact Andrew Poon, Media Relations, 604-899-6880.