BCSC panel sanctions Richmond man for breaching a Commission order
Vancouver - A British Columbia Securities Commission (BCSC) panel has sanctioned William Raymond Malone, a Richmond, B.C. resident, for breaching an order prohibiting him from acting as a director or officer of any issuer and engaging in investor relations activities.
On January 29, 2009, Malone entered into a settlement agreement with the BCSC. As part of the settlement, Malone was subject to an order prohibiting him from acting as a director or officer of any issuer and from engaging in investor relations activities before the later of January 29, 2012, or the date Malone successfully completed a course of study satisfactory to the executive director concerning the duties and responsibilities of directors and officers.
In August, the panel found that during the time period when the order was in effect, Malone breached the order by acting as a de facto director and/or officer of Lion King Resources Inc., a private B.C. company that was in the business of promoting and developing an iron ore property in the Atacama region of Chile.
The panel also found that Malone breached the order by conducting investor relations activities on behalf of Lion King when he solicited a B.C. resident to purchase securities of Lion King.
In its decision, the panel noted that Malone represents a significant risk to B.C.'s capital markets, stating "He was previously sanctioned for misconduct in our capital markets and, despite the Order, simply carried on conduct in breach of the regulatory restrictions imposed on him. This raises questions about whether Malone will allow himself to be regulated."
For his misconduct, the panel has ordered that Malone pay an administrative penalty of $60,000. He must also resign any positions he holds as, and is prohibited from becoming or acting as, a director or officer of any issuer. Malone is also banned from becoming or acting as a registrant or promoter, acting in a management or consultative capacity in connection with activities in the securities market, and engaging in investor relations activities.
Malone's bans are to remain in effect until the later of the date that he pays his administrative penalty, the date he successfully completes a course of study satisfactory to the executive director concerning the duties and responsibilities of directors and officers, and October 3, 2023.
You may view the sanctions decision on our website www.bcsc.bc.ca by typing William Raymond Malone or 2016 BCSECCOM 334 in the search box. Information regarding disciplinary proceedings can be found in the Enforcement section of the BCSC website.
Please visit the Canadian Securities Administrators' Disciplined List for information relating to persons and companies disciplined by provincial securities regulators, the Investment Industry Regulatory Organization of Canada (IIROC) and the Mutual Fund Dealers Association (MFDA).
About the British Columbia Securities Commission (www.bcsc.bc.ca)
The British Columbia Securities Commission is the independent provincial government agency responsible for regulating capital markets in British Columbia through the administration of the Securities Act. Our mission is to protect and promote the public interest by fostering:
- A securities market that is fair and warrants public confidence
- A dynamic and competitive securities industry that provides investment opportunities and access to capital
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Alison Walker, Media Relations
604-899-6854 or 1-800-373-6393 (toll free)
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