ASC issues public interest order against William Jordan McBean in response to criminal fraud conviction

CALGARY, AB, Oct. 10, 2024 /CNW/ - The Alberta Securities Commission (ASC) has permanently banned William Jordan McBean from participating in Alberta's capital market after a criminal court found that he defrauded investors.

In January 2023, Justice Sullivan of the Court of King's Bench of Alberta found McBean guilty of 12 counts of fraud over $5,000 under the Criminal Code. Eleven of McBean's convictions arose from false representations he made in conjunction with a fundraising scheme, in which McBean received approximately $3.7 million in fees based on assurances that he would provide business loans that never materialized. McBean was also found to have defrauded an investor of $424,000 USD by diverting investment funds meant to be used to purchase shares in a company associated with McBean. He was sentenced in May 2023 to seven years in jail and ordered to pay restitution in the amounts of $1,628,431 CDN and $424,000 USD.

When considering the matter under the Securities Act (Alberta), an ASC panel found that it was in the public interest to issue an order, because "McBean knowingly perpetrated frauds that caused considerable harm to Alberta residents. ... In the circumstances, we find that permanent market bans are necessary to preclude McBean from future participation in the capital market, while also sending a strong message to others that engaging in similar conduct will result in similar sanctions."

The panel ordered on October 8, 2024 that McBean:

• must permanently cease trading in securities or derivatives, and that all exemptions contained in Alberta securities laws do not apply to him;
• must immediately resign all positions he holds, and is permanently prohibited from becoming or acting, as a director or officer of any issuer, registrant, investment fund manager, recognized exchange, recognized self-regulatory organization, recognized clearing agency, recognized trade repository, designated rating organization or designated benchmark administrator; and
• is permanently prohibited from engaging in investor relations activities, advising in securities or derivatives, becoming or acting as a registrant, investment fund manager or promoter, and acting in a management or consultative capacity in connection with activities in the securities market.

A copy of the decision is available on the ASC website at asc.ca.

The ASC is the regulatory agency responsible for administering the province's securities laws. It is entrusted with fostering a fair and efficient capital market in Alberta and with protecting investors. As a member of the Canadian Securities Administrators, the ASC works to improve, coordinate and harmonize the regulation of Canada's capital markets.

SOURCE Alberta Securities Commission

For further information please contact: For media inquiries: Gabrielle Chamiço, Advisor, Communications, [email protected]; For investor inquiries: ASC Public Inquiries, Toll Free 1.877.355.4488, [email protected]