CALGARY, Oct. 6 /CNW/ - The Alberta Securities Commission (ASC) has
extended an order under the Securities Act (Alberta), temporarily prohibiting
short sales of certain financial sector securities listed on the Toronto Stock
Exchange (TSX). The extended order prohibits, with certain exceptions, short
selling of common shares of certain financial sector issuers until 11:59 p.m.,
October 8, 2008.
On September 18, 2008, the United States Securities and Exchange
Commission (SEC) temporarily banned short selling of securities in numerous
financial firms, including some that are listed on stock exchanges in both the
United States and Canada. On September 19, 2008, the Ontario Securities
Commission (OSC) in its role as the lead regulator of the TSX, along with the
ASC and other members of the CSA, issued parallel orders imposing similar
restrictions regarding certain listed financial issuers.
The SEC extended its order on October 1, 2008. The OSC extended its
temporary ban on October 3, 2008, and the ASC has similarly extended its
temporary order. Both the SEC and Canadian orders are expected to expire at
11:59 p.m., October 8, 2008, three business days after the U.S. Emergency
Economic Stabilization Act of 2008 becomes law.
The Canadian temporary bans prevent the possibility of Canadian markets
being used to avoid the SEC orders by banning the short selling of Canadian
securities that are also listed on a U.S. stock exchange. The issuers affected
by the extended ASC order are: Bank of Montreal, Bank of Nova Scotia, Canadian
Imperial Bank of Commerce, Fairfax Financial Holdings Limited, Kingsway
Financial Services Inc., Manulife Financial Corporation, Quest Capital Corp.,
Royal Bank of Canada, Sun Life Financial Inc., Thomas Weisel Partners Group
Inc., Toronto-Dominion Bank, and Merrill Lynch & Co., Canada Ltd.
The extended ASC order is available for review on the ASC website at
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 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