TORONTO, Sept. 14 /CNW/ - The Investment Dealers Association of Canada
(IDA) announced today that a hearing will be held before a Hearing Panel
appointed pursuant to By-law 20 in respect of matters for which Mr. David
Francis Shep, at all material times a Registered Representative (RR) at the
Toronto branch of Desjardins Securities Inc. (Desjardins), an IDA Member, may
The hearing relates to allegations that between November 4, 2002, and May
4, 2005, Mr. Shep failed to disclose that he was actively and closely involved
in the affairs of a company listed on the NASDAQ Over-the-Counter Bulletin
Board called Second Stage Ventures Inc. (SSVT). It is also alleged that Mr.
Shep had an undisclosed interest in SSVT which he held through an off-shore
corporate entity called Trygve Cinch Holdings (Trygve). Mr. Shep was the RR
for Trygve's accounts at Desjardins. It is alleged that one of the Trygve
accounts, with other accounts for which Mr. Shep was the RR, traded SSVT
shares in a manipulative and deceptive manner. It is further alleged that Mr.
Shep failed in his duties as an industry gatekeeper with respect to an
unrelated off-shore account.
Mr. Shep is no longer a registrant with an IDA Member firm.
The hearing is scheduled to commence on Monday, January 14, 2008, at a
time and location to be determined by the National Hearing Coordinator. The
hearing is open to the public except as may be required for the protection of
confidential matters. Copies of the decision of the Hearing Panel will be made
The Investment Dealers Association of Canada (IDA) is the national
self-regulatory organization of the securities industry. The IDA's mission is
to protect investors, foster market integrity and enhance the efficiency and
competitiveness of the Canadian capital markets. The IDA enforces rules and
regulations regarding the sales, business and financial practices of its
Member firms and their approved persons. Investigating complaints and
disciplining Members and approved persons is part of the IDA's regulatory
For further information:
For further information: Alex Popovic, Vice-President, Enforcement,
(416) 943-6904 or firstname.lastname@example.org; Jeffrey Kehoe, Director, Enforcement
Litigation, (416) 943-6996 or email@example.com