BCSC

Decisions

RUSSELL JAMES BENNETT, et. al. [Sec. 161 & 174 ]

BCSECCOM #:	Document Type: Sec. 161 & 174
Published Date: 1999-10-22	Effective Date: 1999-10-14
Details:

COR#99/282

IN THE MATTER OF THE SECURITIES ACT
R.S.B.C. 1996, c. 418

AND

IN THE MATTER OF RUSSELL JAMES BENNETT, WILLIAM RICHARDS BENNETT AND HARBANSE SINGH DOMAN

Order Under Sections 161 and 174

WHEREAS:

A. pursuant to an amended notice of hearing dated October 26, 1990, a hearing was held before the British Columbia Securities Commission (the “Commission”) on August 23 and 24 and September 2, 8, 9, 12 and 13, 1994, January 23 to 25, February 1 to 3, 6 to 10, 13 to 17 and 20 to 22, April 18 to 21 and 24 to 28, May 1 to 4 and 29 to 31, June 1, 2, 5, 6, 8, 9, 19 to 23 and 26 to 28, July 4 and 6, and August 8, 9, 11, 15 and 30, 1995 and April 1 to 4, 1996 pursuant to which the Commission was asked to determine whether it was in the public interest to make certain orders affecting Russell James Bennett, William Richards Bennett and Harbanse Singh Doman (the “Hearing”);

B. the Commission issued its decision arising from the Hearing on August 28, 1996; and

C. a further hearing was held before the Commission on October 12, 13 and 14, 1999 (the “Penalty Hearing”) to provide Russell James Bennett, Harbanse Singh Doman and Doman Industries Limited the opportunity to be heard prior to the Commission determining whether it was in the public interest to make orders under the Securities Act, R.S.B.C. 1996, c. 418 (the “Act”) affecting Russell James Bennett and Harbanse Singh Doman, and to give William Richards Bennett the opportunity to be heard prior to the Commission determining the amount of fees and charges for the costs of or related to the Hearing to be paid by him;

IT IS ORDERED IN THE PUBLIC INTEREST THAT:

1. Under section 161(1)(c) of the Act that the exemptions described in sections 44 to 47, 74, 75 and 98 of the Act do not apply to Russell James Bennett for a period ending August 31, 2006.

2. Under section 161(1)(d) of the Act that Russell James Bennett resign any position that he holds as a director or officer of a reporting issuer and that Russell James Bennett is prohibited from becoming or acting as a director or officer of any reporting issuer until August 31, 2006.

3. Under section 161(1)(d) of the Act, with respect to all reporting issuers other than Doman Industries Limited (the “Company”), that Harbanse Singh Doman resign any position that he holds as a director or officer thereof by October 26, 1999, and that Harbanse Singh Doman is prohibited from becoming or acting as a director or officer of any such reporting issuer until October 25, 2009.

4. Under section 161(1)(d) of the Act that Harbanse Singh Doman resign as a director and officer of the Company by October 26, 1999, and is prohibited from becoming or acting as a director or officer of the Company for a period of eight months and thereafter commencing on June 25, 2000 may become an officer and director of the Company, provided that for so long as Harbanse Singh Doman is a director or officer of the Company:

(a) the Company has a governance committee comprised of a majority of independent directors and chaired by an independent director;

(b) Harbanse Singh Doman not act as both President/Chief Executive Officer and Chairman of the board of the Company at the same time until October 26, 2009; and

(c) the appointment of Harbanse Singh Doman as either President/Chief Executive Officer or Chairman of the board of directors of the Company is recommended by the governance committee to the board of directors of the Company.

5. Under section 161(1)(c) of the Act that the exemptions described in sections 44 to 47, 74, 75 and 98 of the Act do not apply to Harbanse Singh Doman for a period of 10 years that commences October 26, 1999 and expires October 25, 2009 provided that during such period Harbanse Singh Doman may (i) participate in and exercise options to purchase under the Company’s incentive stock option plan, (ii) engage in acts in furtherance of a trade or investor relations activities necessary or incidental to discharging his functions as an officer or director of the Company or a subsidiary, and (iii) effect trades in the securities of the Company in facilitation of a change of control of the Company upon seven days’ prior written notice to the Executive Director pursuant to Rule 136(1) of the Securities Rules.

6. Under section 174 of the Act that Russell James Bennett, William Richards Bennett and Harbanse Singh Doman are jointly and severally liable for prescribed fees and charges for the costs of or related to the hearing incurred by the Commission and the Executive Director, in the amount of $1,000,000 payable on or before October 26, 1999.

DATED at Vancouver, British Columbia, on October 14, 1999.

Brent W. Aitken	Roy Wares	Diane K. Wolch
Member	Member	Member