ASC hands down $600,000 sanction and permanent bans against Lethbridge-based
Robert Smylski and Smylski Consulting Services
CALGARY, Sept. 28 /CNW/ - The Alberta Securities Commission (ASC) has ordered Lethbridge-based Robert Michael Smylski and Smylski Consulting Services Ltd. (carrying on business as Money Solutions) to pay a $600,000 administrative penalty for breaching Alberta securities laws.
In its sanction decision, the ASC panel also ordered that:
- Smylski and Smylski Consulting Services permanently cease trading in securities and be denied the use of all Alberta securities laws exemptions;
- Smylski be permanently prohibited from advising in securities or exchange contracts; and
- Smylski be permanently prohibited from acting in a management or consultative capacity in connection with activities in the securities market.
The ASC panel found that the improper conduct of the named parties called for significant sanctions: "We conclude that Smylski and Smylski Consulting deliberately flouted Alberta securities laws in this regard. The Respondents' failures to comply with many of the core investor protection requirements of Alberta securities laws argue for significant sanction against them."
In the decision the panel noted: "We are especially concerned by the Respondents' focus on soliciting senior citizens and persuading them to purchase exempt-market products, which are typically more risky and less liquid than the more conservative investment products available to them." The panel also referred to evidence at the sanction hearing that Smylski continued to disregard Alberta securities laws by attempting to sell securities while subject to an ASC interim order requiring him to cease trading in all securities.
On July 15, 2010, the ASC panel issued its merits decision. In that decision, the ASC panel found that Smylski and Smylski Consulting Services illegally traded in and distributed securities, that Smylski acted as an adviser without being registered, and that Smylski made prohibited representations and misrepresentations. The Panel also found that Smylski acted contrary to the public interest in some of his advertising practices and by engaging or participating in the signing of some investors' signatures or initials on certain documents relating to securities purchases.
A copy of the decision is posted on the ASC website at www.albertasecurities.com.
The ASC is the regulatory agency responsible for administering the province's securities laws. It is entrusted to foster a fair and efficient capital market in Alberta and to protect investors. As a member of the Canadian Securities Administrators, the ASC works to improve, coordinate and harmonize the regulation of Canada's capital markets.
For further information:
For Media Inquiries: |
Mark Dickey Senior Communications Advisor 403.297.4481 |
For Investor Inquiries: |
ASC Public Inquiries Toll Free 1.877.355.4488 |
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