Settlements
CARL L. LAZZELL [Sec. 161 & Settlement Agrmnt.]
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BCSECCOM #:
2001 BCSECCOM 1110, 2001 BCSECCOM 1111
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Document Type:
Sec. 161 & Settlement Agrmnt.
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Published Date:
2001-11-27
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Effective Date:
2001-11-19
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Details:
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2001 BCSECCOM 1110
IN THE MATTER OF THE SECURITIES ACT
R.S.B.C. 1996, C. 418
AND
IN THE MATTER OF CARL L. LAZZELL
Order Under Section 161
[para 1]
1. The Executive Director has entered into a Settlement Agreement with Carl L. Lazzell (Lazzell), a copy of which is attached as Schedule “A”.
2. The Executive Director, considering it to be in the public interest to do so, orders, by consent, that:
2.1 under section 161(1)(c) of the SecuritiesAct, R.S.B.C. 1996, c. 418 (the Act), all of the exemptions described in sections 44 to 47, 74, 75, 98 or 99 of the Act do not apply to Lazzell for a period of five years from the date of the Order; and
2.2 under section 161(1)(d) of the Act, Lazzell is prohibited from becoming or acting as a director or officer of any issuer until the later of:
2.2.1 5 years from the date of the Order; and
2.2.2 the date Lazzell successfully completes the Securities Program offered by Simon Fraser University through its Applied Business Program.
Dated November 19, 2001.
Steve Wilson
Executive Director
2001 BCSECCOM 1111
Schedule “A”
IN THE MATTER OF THE SECURITIES ACT
R.S.B.C. 1996, c. 418
AND
IN THE MATTER OF CARL L. LAZZELL
Settlement Agreement
[para 1]
1. The following settlement of issues has been reached between Carl L. Lazzell (Lazzell) and the Executive Director:
Agreed Statement of Facts
[para 2]
2. As the basis for the undertaking and orders set out below, Lazzell acknowledges the following facts as correct:
2.1 In 1987, Lazzell, among others, was charged under the Criminal Code (the Criminal Proceedings) with offences relating to the manipulation of the prices of shares trading on the Vancouver Stock Exchange (now the Canadian Venture Exchange (CDNX)) and fraud perpetrated on a mutual fund based in the United States.
2.2 On May 30, 1988, as a result of the Criminal Proceedings, the Executive Director of the British Columbia Securities Commission (the Commission) issued temporary orders against Lazzell, among others, (the Temporary Orders) under section 145(2) of the Securities Act, S.B.C. 1985, c. 83 (the Former Act) (now section 161 of the SecuritiesAct, R.S.B.C. 1996, c.418 (the Act)).
2.3 The Temporary Orders had the effect of precluding Lazzell, among others, from being able to rely upon the exemptions in sections 30 to 32, 55, 58, 81 and 82 of the Former Act (now sections 44 to 47, 74, 75, 98 or 99 of the Act).
2.4 The Executive Director also gave notice of a hearing to be held on June 10, 1988, to give Lazzell an opportunity to be heard before the Commission determined whether further orders should be made under section 145(1) of the Former Act.
2.5 On June 9, 1988, the Commission adjourned the hearing generally, by consent, and extended the Temporary Orders until such time as a hearing was held and a decision rendered.
2.6 On February 23, 1988, Lazzell was convicted of accepting secret commissions, contrary to the Criminal Code, and sentenced to 17 months in prison.
2.7 In 1999, Lazzell received a pardon for his February 23, 1988 conviction (the Pardon).
Other Factors
[para 3]
3. In reaching this Settlement Agreement, the Executive Director has taken into account the following factors:
3.1 the Pardon; and
3.2 the length of time the Temporary Orders have been in place, by consent, against Lazzell.
Undertaking
[para 4]
4. Lazzell undertakes:
4.1 to comply with the provisions of the Act, the Securities Regulations B.C. Reg. 196/97, the Securities Rules, B.C. Reg. 194/97, as amended; and
4.2 Lazzell agrees he will not say anything, in writing or verbally, which may contradict the terms of this settlement or call those terms into question.
Order
[para 5]
5. Lazzell consents to an order of the Executive Director (the Order) that:
5.1 under section 161(1)(c) of the Act, all of the exemptions described in sections 44 to 47, 74, 75, 98 or 99 of the Act do not apply to Lazzell for a period of 5 years from the date of the Order; and
5.2 under section 161(1)(d) of the Act, Lazzell is prohibited from becoming or acting as a director or officer of any issuer until the later of:
5.2.1 5 years from the date of the Order; and
5.2.2 the date Lazzell successfully completes the Securities Program offered by Simon Fraser University through its Applied Business Program.
Waiver
[para 6]
6. Lazzell waives any right he may have, under the Act or otherwise, to a hearing, hearing and review, judicial review or appeal related to, in connection with or incidental to, this Settlement Agreement.
Dated at Webster, TX, on October 16, 2001.
“Carl L. Lazzell”
Carl L. Lazzell
“D. Lee” )
Witness Signature )
)
Deborah L. Lee )
Witness Name (please print) )
)
1150 Gemini )
)
Houston, Texas )
Address )
________________________________ )
Occupation )
Dated at Vancouver, British Columbia, on November 19, 2001.
Steve Wilson
Executive Director