News Release

Vancouver - The British Columbia Securities Commission has settled with a B.C. man who admitted he contravened various securities laws when he raised US $34 million from investors to purportedly trade spot foreign exchange (Forex) contracts.

In the settlement agreement, Cem Ali, 33, a B.C. resident, admitted that he illegally traded and distributed securities, made misrepresentations, and contravened a cease trade order issued by the BCSC.

Between Aug. 29, 2006 and January 2008, Ali raised US $34 million from 957 investors through the sale of Horizon FX Investments Limited Partnership (Horizon LP) units without being registered and without filing a prospectus. Investor funds were sent to a U.S. company, Razor FX, Inc., that purported to trade Forex contracts on behalf of Horizon LP.

In addition, Ali made misrepresentations by making untrue, false or misleading statements in an offering memorandum, website and brochure that promoted the sale Horizon LP securities. He also received approximately Cdn $2.5 million of investor funds after the BCSC issued a cease trade order on Oct. 18, 2007.

On Sept. 1, 2009, Ali, Horizon LP, Horizon FX Investments Incorporated, and HFX Management Services Inc. became bankrupt. The BCSC froze approximately Cdn $2.6 million in assets and property from Ali and his companies and this will be released to the bankruptcy trustee for distribution to investors.

Furthermore, in settlement of this matter, Ali agreed to distribute to investors through the trustee any money returned to him through a claim he filed for Horizon LP on the assets of Razor FX seized by U.S. authorities.

Under the settlement agreement, Ali is permanently prohibited from engaging in investor relations activities, acting as a director or officer of any issuer, becoming or acting as a registrant, investment fund manager or promoter, and acting in a management or consultative capacity in connection with activities in the securities market. He is also permanently banned, with limited exceptions, from trading and purchasing securities.

If Ali were not bankrupt, a monetary penalty of Cdn $1 million would have been assessed in this matter.

The B.C. Securities Commission is the independent provincial government agency responsible for regulating trading in securities within the province. You may view the settlement on our website www.bcsc.bc.ca by typing in the search box, Cem Ali or 2009 BCSECCOM 732 . If you have questions, contact Ken Gracey, media relations, 604-899-6577.

Learn how to avoid investment fraud at the BCSC's investor education website: www.investright.org .