Ont. company denied access to sell securities
The Nova Scotia Securities Commission has adopted a Manitoba decisionto permanently deny an Ontario company access to registrationexemptions that would allow it to sell securities in Nova Scotia.
The Nova Scotia Securities Commission has adopted a Manitoba decision to permanently deny an Ontario company access to registration exemptions that would allow it to sell securities in Nova Scotia.
In an August 2009 order, the Manitoba Securities Commission found that Tri Clean Enterprises Inc. of Richmond Hill, Ont., contravened Manitoba securities laws.
The commission ordered several sanctions, including a permanent denial of access to exemptions under Manitoba law.
The agency found that from April 2005 to March 2007, Tri Clean distributed securities to investors in Manitoba without proper registration.
Typically, businesses can raise capital by selling securities in a province through a document known as a prospectus, which contains detailed information about the securities offered, as well as the issuer’s financial condition.
But some issuers are given prospectus exemptions under certain conditions.
The Nova Scotia Securities Commission later determined that in 2005 and 2006, Tri Clean also distributed securities in that province.