Superintendent of Brokers Concludes B.C. Endowment Fund Review

93/08
September 17, 1993

Released: Sept. 10, 1993  Contact: Dean Holley  660-4858

In May of this year the Superintendent of Brokers confirmed that the staff of the B.C. Securities Commission were undertaking a review of the purchase of shares of MacMillan Bloedel Ltd. on February 9, 1993 by the B.C. Endowment Fund. The purpose of the review was to determine whether or not there had been any violations of the B.C. Securities Act, specifically whether the purchase was made in contravention of the insider trading prohibitions of section 68.

That review has been completed. The evidence gathered and the conclusions reached by staff have been reviewed by outside legal counsel. We have determined, based on all of the available evidence, that there is no basis on which to allege that the purchase of MacMillan Bloedel shares on February 9, 1993 was made with knowledge of undisclosed "material facts" or "material changes", as those terms are defined in the Securities Act, concerning MacMillan Bloedel and the Clayoquot Sound land use decision.

No further proceedings will be initiated by the staff of the Commission in this case.

A detailed description of the events leading to this review was previously made public in the report of the Commission of Inquiry delivered by the Honourable Mr. Justice Seaton.