VANCOUVER, Feb. 20 /CNW/ - The British Columbia Securities Commission has
settled with the former president and director of two companies who admitted
to illegally distributing and misrepresenting approximately $6.6 million in
securities to investors across Canada.
Gregory William Rivers, a Quesnel resident, was the president and
director of Advanced Rescue Technologies Inc. (ARTI) and NOF Electrical
Generation Inc. (NOF).
Between February 2002 and April 2005, the two companies distributed,
directly and through agents, approximately $6.6 million in preferred shares to
investors across Canada without being registered and without filing a
prospectus. At least 27 British Columbia residents invested nearly $1 million
in ARTI and NOF. As director and chief officer of the two companies, Rivers
violated securities laws by allowing the distribution of shares to investors.
Rivers made misrepresentations to investors when he failed to disclose
ARTI had paid almost $75,000 in commissions to Alvin Lee Johnson and VG
Capital Group Inc., two parties named in a separate BCSC notice of hearing.
Rivers also failed to disclose to NOF investors that the company had made over
$4 million in interest-free, non-arm's length loans to individuals and
companies, including ARTI.
In the settlement agreement, Rivers agreed to pay $10,000. Rivers must,
with limited exceptions, cease trading in securities, not become or act as a
director or officer of any issuer, and not engage in investor relations for
12 years. Both ARTI and NOF must permanently cease trading and purchasing
securities, and are permanently banned from future investor relations
The executive director determined that Rivers, ARTI and NOF did not have
the ability to pay the larger financial penalties that would have otherwise
been required in the public interest.
The B.C. Securities Commission is the independent provincial government
agency responsible for regulating trading in securities within the province.
You may view the settlement on our website www.bcsc.bc.ca by typing in the
search box, Gregory William Rivers or 2008 BCSECCOM 99. If you have questions,
contact Ken Gracey, Media Relations, 604-899-6577.
Learn how to avoid investment fraud at the BCSC's investor education
For further information:
For further information: Ken Gracey, (604) 899-6577 or (B.C. & Alberta)