NOTICE:-- WHEREAS:

1.		Qualico Securities Limited ("Qualico") was registered as a securities dealer pursuant to Section 20 of the British Columbia Securities Act, S.B.C. 1985, c. 83 as amended ("the B.C. Securities Act"), from July 15, 1981 to April 14, 1987;
2.		Robert Alfred Watt ("Watt") is a resident of Ontario and is a director of Cryderman Gold Inc.;
3.		Cryderman Gold Inc. is a company incorporated in the Province of British Columbia and its shares are listed for trading on the Vancouver Stock Exchange;
4.		On July 28, 1988 the Ontario Securities Commission made an order cancelling Watt's registration under the Ontario Securities Act as an officer and a salesman employed by a securities dealer (Exhibit "A");
5.		In the Settlement Agreement attached to the Order of the Ontario Securities Commission dated July 28, 1988, Watt admitted the following facts:

a)		From October 28, 1981 to July 31, 1983, Watt was employed by Qualico as its trading officer in its Toronto office. One of Watt's duties as trading officer was to ensure that Qualico's Toronto office complied with the Ontario Securities Act, and the Regulation enacted thereunder;
b)		While employed as Qualico's trading officer, Watt used unregistered agents of Qualico to sell securities being distributed by Qualico in violation of Section 24 of the Ontario Securities Act and failed to comply with the know-your-client rules with respect to the clients of those unregistered agents in violation of Section 102 of the Ontario Securities Act Regulation.

6.		Kevin Richard Purdy ("Purdy") is a resident of Ontario and is a director and officer of England Securities Limited;
7.		England Securities Limited is a company incorporated in the Province of British Columbia and is registered as a securities dealer pursuant to Section 20 of the B.C. Securities Act;
8.		On August 9, 1988 the Ontario Securities Commission made an Order removing Purdy's trading exemptions contained in the Sections 34, 71, 72 and 92 of the Ontario Securities Act for a period from August 9, 1988 to August 8, 1991 (Exhibit "B");
9.		In the Settlement Agreement attached to the Order of the Ontario Securities Commission dated August 9, 1988 Purdy admitted the following facts:

a)		From April 11, 1984 to February 22, 1986, Purdy was employed by Qualico as sales manager of its Toronto office, and for that period was registered pursuant to Section 24 of the Ontario Securities Act as a securities salesman employed by Qualico;
b)		Purdy knew that Qualico had established the practice of using unregistered agents to sell securities being distributed by Qualico. As an employee of Qualico and on behalf of Qualico, Purdy participated in the practice, in violation of Section 24 of the Ontario Securities Act. Purdy failed to comply with the know-your-client rules, in violation of Section 102 of the Ontario Securities Act Regulation;
10.		Katherine Friesen ("K. Friesen") was registered pursuant to Section 20 of the B.C. Securities Act, as director and president of Qualico from March 8, 1983 to April 2, 1985;
11.		Robert Arthur Fries ("R.A. Friesen") was registered pursuant to Section 20 of the B.C. Securities Act as director of Qualico from July 3, 1981 to prll 14, 1987, when Qualico's registration as securities dealer was terminated voluntarily. R.A. Friesen was president of Qualico from July 3, 1981 to March 8, 1983;
12.		David Friesen ("D. Friesen") was chief executive officer of the General Partners of most issuers whose securities were sold by Qualico. D. Friesen was never registered under the B.C. Securities Act with respect to his involvement with Qualico;
13.		K. Friesen, R.A. Friesen and D. Friesen signed an Agreed Statement of Facts which was filed with the Ontario Securities Commission September 23, 1988. The Agreed Statement of Facts (Exhibit "C") outlines the procedure used by Qualico to use unregistered agents to sell its securities in British Columbia, Saskatchewan, Manitoba, Ontario, Quebec, New Brunswick and Nova Scotia;
14.		In the Agreed Statement of Facts, R.A. Friesen and K. Friesen admitted that in their capacities as directors and officers, and D. Friesen admitted that in his capacity as representative of R.A. Friesen and K. Friesen, they failed to supervise senior Qualico staff in respect of the use of, and payment of fees to, non-registrants with respect to the sale of securities in Ontario in violation of Section 24 of the Ontario Securities Act, as well as in respect of compliance with the "know-your-client" rules in violation of Section 102 of the Ontario Securities Act Regulation;
15.		On January 19, 1989 the Ontario Securities Commission made an order removing D. Friesen's, R.A. Friesen's and K. Friesen's exemptions contained in Sections 34 (except section 34(1)(10)), 71, 72 and 92 of the Ontario Securities Act for the remainder of each of their natural lives (Exhibit "D"). Written reasons were issued by the Commission on April 20, 1989 (Exhibit "E");
16.		By Notice of Appeal dated February 16, 1989 D. Friesen, R.A. Friesen and K. Friesen commenced an appeal of the Ontario ,Securities Commission order of January 19, 1989 to the Ontario Supreme Court (Divisional Court). The order appealed from has not been stayed pending the outcome of the appeal.

1.		to make an order under Section 145(1) of the B.C. Securities Act that the exemptions described in Section 30 to 32, 55, 58, 81 and 82 do not apply to Watt, Purdy, K. Friesen, R.A. Friesen and D. Friesen;
2.		to make orders under Section 145.1(1) of the British Columbia Securities Act that Watt:

a)		resign as director of Cryderman Gold Inc., and
b)		is prohibited from becoming or acting as a director or officer of a reporting issuer;

3.

to make orders under Section 145.1(1) that Purdy:

a)		resign as director and officer of England Securities Limited, and
b)		is prohibited from becoming or acting as a director or officer of a reporting issuer;

4.		to make an order under section 145.1(1) that D. Friesen, R.A. Friesen and K. Friesen are prohibited from becoming or acting as directors or officers of a reporting issuer;
5.		to make an order under Section 154.2 of the Act that Watt, Purdy, D. Friesen, R.A. Friesen and K. Friesen pay prescribed fees or charges for the costs of or related to the hearing that are incurred by or on behalf of the Commission or the Superintendent of Brokers;
6.		to make any other order necessary and appropriate in the circumstances.

   AND TAKE NOTICE that determinations may be made in this matter if Watt, Purdy, K. Friesen, R.A. Friesen or D. Friesen do not appear at the hearing.

G.D. MULLIGAN
Deputy Superintendent

Copies to:

Robert Alfred Watt
97 Old Mill Road
Etobicoke, Ontario
M8X 1G9

Kevin Richard Purdy
Suite 690
1040 West Pender Street
Vancouver, British Columbia

Katherine Friesen
570 Park Boulevard West
Winnipeg, Manitoba
R3P OH4

Robert Arthur Friesen
570 Park Boulevard West
Winnipeg, Manitoba
R3P OH4

David Friesen
119 Lake Placid Place
Calgary, Alberta
T2J 5R6