ASC Settles with Directors of Calgary Oil and Gas Company



    CALGARY, Feb. 6 /CNW/ - The Alberta Securities Commission (ASC) has
concluded settlements with the non-management directors of High Plains Energy
Inc.: Walter A. Dawson, Luc Chartrand, John G. Gerlitz, M. Scott Wilson and
Jeffrey J. Scott with respect to allegations of incomplete disclosure of oil
and gas production numbers in High Plains Energy news releases. The directors
each agreed to pay $20,000 to settle the allegations and $5,000 towards
investigation costs.
    High Plains Energy (now Action Energy Inc.) issued a series of news
releases prepared by management between July 2005 and January 2006 that
contained inaccurate rates of production. The independent directors were
unaware of the inaccurate reporting by management until the Chief Financial
Officer informed them on January 30, 2006. However, the non-management
directors acknowledge in the Settlement Agreement that, once informed of the
inaccuracies, they acted contrary to the public interest by failing in news
releases dated February 8 and March 8, 2006, to:

    
    -   disclose High Plains Energy's actual production for the period July
        to November 2005, with comparative references to the untrue figures
        disclosed for those months in earlier High Plains Energy news
        releases;
    -   compare the actual production for December 2005 and January 2006
        (accurately described by High Plains Energy in the March 8, 2006 news
        release) with the untrue figures disclosed in previous news releases;
        and
    -   ensure that High Plains Energy disclosed that the accuracy of its
        earlier disclosures of monthly production was under review.
    

    An ASC panel will hold a hearing into similar allegations against High
Plains Energy management on February 17, 2009.
    Copies of the Settlement Agreements are 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 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


Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

CNW Membership

Fill out a CNW membership form or contact us at 1 (877) 269-7890

Learn about CNW services

Request more information about CNW products and services or call us at 1 (877) 269-7890