Exemption Orders (Discretionary)
STRAND SECURITIES CORPORATION
2001 BCSECCOM 939
ORDER UNDER SECTIONS 48 AND 171 OF THE SECURITIES ACT, R.S.B.C. 1996, c. 418
STRAND SECURITIES CORPORATION
[para 1]
Background
1. On May 24, 2001, Strand Securities Corporation received an order from the Executive Director (the “Past Order”) exempting it from the requirement in section 6(3) of the Securities Rules, B.C. Reg. 195/97 that securities dealers apply for membership with the Mutual Fund Dealers Association of Canada or the Investment Dealers Association of Canada by May 23, 2001 (the “Membership Requirement”);
1.1 relief under the Past Order is conditional upon certain events happening by September 28, 2001;
1.2 the Executive Director agreed to extend the September 28, 2001 deadline in the Past Order to September 30, 2002;
[para 2]
Representations
2. Strand represents that:
2.1 it is incorporated under the laws of British Columbia and is registered as a securities dealer under the Act;
2.2 Strand’s business consists principally of selling exempt distributions of securities of issuers that are affiliates of Strand;
2.3 Strand’s business is sufficiently specialized such that it is applying to the Executive Director to be registered as a special limited dealer under the Act (a “Special Limited Dealer”);
2.4 the Membership Requirement does not apply to a Special Limited Dealer;
[para 3]
Order
3. Considering that it would not be prejudicial to the public interest, it is ordered:
3.1 under section 48 of the Act that the Membership Requirement does not apply to Strand provided that by September 30, 2002:
3.1.1 Strand is registered as a Special Limited Dealer and is not registered under the Act as a securities dealer or a mutual fund dealer; or
3.1.2 Strand has applied to the Mutual Fund Dealers Association of Canada or the Investment Dealers Association of Canada for membership; and
3.2 under section 171 of the Act that the Past Order is revoked.
[para 4]
DATED September 24, 2001.
Gerry Halischuk
Director
Capital Markets Regulation