News Release

This press release replaces the April 12, 2011 release (Release) that contained  incorrect information about Mr. Blake A. Prater.  The Commission has removed the Release from its website and asks that any outlet that published incorrect information based on the Release to retract and correct that information.

The corrected press release appears below.

Vancouver – British Columbia Securities Commission panels have reciprocated enforcement orders against a person criminally convicted in the United States of a securities-related offence, and 18 people sanctioned by securities commissions in the U.S. and Canada.  

Under a section of the Securities Act that allows the commission to issue enforcement orders based on criminal convictions, a commission panel permanently banned from our markets Blake A. Prater, who plead guilty to securities fraud in the U.S. and was sentenced to 10 years in prison. 

Prater was a director of two British Columbia companies, Wellspring Capital Group Ltd. and Springpay Systems. In 2009, the companies admitted to operating Ponzi schemes and were permanently cease-traded by the BCSC.

In September 2009, the United States Securities and Exchange Commission filed a complaint in court charging John David Briner, a Vancouver lawyer, and others with securities law violations in connection with a fraudulent scheme to artificially inflate the market for shares in a penny stock company. These charges were never proved in court.

In April 2010, Briner entered into an agreement with the SEC. In that agreement, he consented to sanctions. The sanctions include five-year bans from serving as an officer or director of an issuer of certain securities and from participating in any offering of penny stock. Given the terms of Briner’s agreement with the SEC, a BCSC panel banned Briner from our markets for five years.

BCSC panels also reciprocated orders against 17 persons sanctioned by the Alberta, New Brunswick and Ontario Securities Commissions. They are:

For more information on the orders, search for the person’s name at www.bcsc.bc.ca. Their names will also appear on a disciplined persons list, and, if they are cease traded, a cease trade order database. You can access these databases on our website on the enforcement page.

The Canadian Securities Administrators (CSA) maintains national databases for disciplined persons and cease trade orders. These databases include all persons in Canada disciplined for securities trading offences. You can access these databases through our databases for disciplined persons and cease trade orders.

The B.C. Securities Commission is the independent provincial government agency responsible for regulating trading in securities within the province. If you have questions, contact Richard Gilhooley, media relations, 604-899-6713.

Learn how to protect yourself and become a more informed investor at www.investright.org