News Release

Vancouver – A Vancouver-based blockchain investment company that committed misrepresentation has been suspended by the B.C. Securities Commission (BCSC) for eight years from trading or purchasing securities and derivatives, and from engaging in promotional activities.

BLOK Technologies Inc. was found to have published a misleading news release in 2018, when it said it had raised approximately $5.4 million from a private placement. The news release said the financing would be spent on advancing the company’s blockchain investment projects, evaluating new blockchain opportunities and working capital, and would take “our company to the next level in the execution of its business model…” But the news release didn’t say that nearly $4.4 million of the financing would go toward consulting fees.

BLOK, which used to trade on the Canadian Securities Exchange, is currently under a cease trade order for its failure to file financial statements. The company is in the process of being dissolved, according to records submitted by the BCSC’s Executive Director, and did not participate in the sanctions process.

A BCSC panel, noting that there is still some risk that BLOK could revive itself and resume trading, said the company is “not fit to participate in the capital markets.”

“The company failed in its obligations to ensure that the public had accurate and complete information in order to make informed investment decisions,” the panel said. “This failure was intentional and would naturally reduce the confidence which investors have in public markets.”

The panel did not impose a monetary penalty; the Executive Director did not ask for such a penalty, and it’s likely that BLOK will soon be dissolved without any assets remaining.

About the B.C. Securities Commission (www.bcsc.bc.ca)

The B.C. Securities Commission, an independent provincial government agency, strives to make the investment market benefit the public. We set rules, monitor compliance by industry, take action against misconduct, and provide guidance to investors and industry. As guardians of B.C.’s investment market, we’re committed to maintaining a market that is honest, fair, competitive and dynamic, enabling British Columbians to thrive.

Media Contact:
Brian Kladko
604-899-6713

Public inquiries:
604-899-6854 or 1-800-373-6393 (toll free)
inquiries@bcsc.bc.ca