TORONTO, Sept. 1, 2011 /CNW/ - The Ontario Securities Commission (OSC)
today approved settlement agreements with Helen Kuszper and her son,
Paul Kuszper, who admitted to engaging in illegal insider trading and
making false and misleading statements to OSC staff in contravention of
Ontario securities law. Helen Kuszper also admitted to engaging in
Under the settlement agreements, Helen Kuszper is permanently banned
from trading securities and acting as an officer or director of a
public company. Paul Kuszper is banned from trading securities and
acting as an officer or director of a public company for a minimum of
The Kuszpers must also disgorge all profits obtained of $321,772, pay an
administrative penalty of $701,690 and pay costs of $30,000. The
administrative penalty represents two times the profits made and losses
"We have made it a priority to identify and pursue cases of insider
trading and unlawful tipping," said Tom Atkinson, Director of
Enforcement at the Ontario Securities Commission. "In this case, a
company employee misappropriated confidential, material information and
used it for her own gain and that of her son. Such conduct is abusive
of our capital markets and we will take action accordingly."
Helen Kuszper and Paul Kuszper each admitted that between April 29 and
May 7, 2008, they traded securities of Kingsway Financial Services Inc.
with knowledge that the company would report a material net loss for
its first quarter 2008 financial results, which had not yet been
publicly disclosed. Helen Kuszper acquired this information in her
capacity as a senior accountant in Kingsway's investment reporting
group and tipped the information to her son.
Helen Kuszper and Paul Kuszper both denied to OSC staff that Helen had
access to Paul's trading account and that she had traded put options on
Paul's behalf. Internet and trading records indicated that the trading
originated from a computer at her business office, while Paul was
living in Antigua.
A copy of the Settlement Agreements and Orders of the Commission in this
matter are available on the OSC website at www.osc.gov.on.ca.
The mandate of the OSC is to provide protection to investors from
unfair, improper or fraudulent practices and to foster fair and
efficient capital markets and confidence in capital markets. Investors
are urged to check the registration of any person or company offering
an investment opportunity and to review the OSC's investor materials
available at www.osc.gov.on.ca.
SOURCE Ontario Securities Commission
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