News Release

Vancouver – A Vancouver man has paid $337,500 to the B.C. Securities Commission (BCSC) and agreed to a temporary market ban after admitting to insider trading and to conduct contrary to the public interest.

In May 2022, Aaron Keay was aware of an upcoming reverse takeover by a B.C. company – whose shares traded on the TSX Venture Exchange (TSX-V) – that he was in a special relationship with. Before the transaction was made public, he directed the purchase of about $134,000 worth of shares of the company in accounts held by two close relatives.

Soon after those stock purchases, the TSX-V halted trading of the company’s shares until the reverse takeover was approved. While trading was halted, the TSX-V asked Keay whether he or any associates, affiliates or persons related to him traded in shares of the company in May 2022. Keay responded that he wasn’t aware of “anyone related, associated, friends, affiliates, etc etc or myself trading” the company’s shares at any time.

Keay admits that directing the stock purchases in the relatives’ accounts was insider trading, and that his response to the TSX-V wasn’t true and therefore contrary to the public interest.

As part of the settlement with the BCSC, Keay agreed to pay $337,500 to the Commission, which represents the profits his relatives could have made if they sold the shares immediately after trading of the shares resumed in February 2023, plus approximately 50 per cent. He also agreed to temporary investment market prohibitions, including restrictions on his ability to become a director or officer of an issuer or registrant, and restrictions on trading or purchasing any securities or derivatives.

Keay’s relatives did not sell any of the shares into the public market and Keay has expressed remorse for his conduct.

About the B.C. Securities Commission (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

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