CALGARY, Aug. 1 /CNW/ - The Alberta Securities Commission (ASC) has
issued a Notice of Hearing seeking to reciprocate an Ontario order against
Shallow Oil & Gas Inc. and its principals, Eric O'Brien, Abel Da Silva and
Allen Grossman. ASC staff allege that the above parties sold Shallow Oil & Gas
shares to approximately 33 Alberta residents without being registered with the
ASC or reporting such sales as required under the Alberta Securities Act.
Grossman is currently under a 20-year ASC trading ban and O'Brien is
under a five-year ASC trading ban for illegally selling securities.
The named parties are subject to a March 31, 2008 Ontario Securities
Commission (OSC) order that prohibits trading in Shallow Oil & Gas securities
and bans all from trading in securities until the conclusion of a hearing on
the merits of the matter. An OSC panel issued the order based on OSC staff's
preliminary evidence that:
- the named parties had sold Shallow Oil & Gas shares to members of the
public without registering with the OSC or filing the required
- Shallow Oil & Gas appears to be merely a shell company with no
- false or misleading information regarding Shallow Oil & Gas had been
given to the public; and
- the sale of Shallow Oil & Gas shares to the public appears to have
perpetrated a fraud on those who purchased the shares.
Criminal charges have been laid in the Ontario Court of Justice against
Shallow Oil & Gas, Grossman, O'Brien and Da Silva, alleging a fraudulent sale
of Shallow Oil & Gas securities to investors.
An ASC hearing into this matter is scheduled for Monday, September 8,
A copy of the Notice of Hearing outlining the allegations in their
entirety is available 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 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