CALGARY, Aug. 4, 2017 /CNW/ - Alberta Securities Commission (ASC) staff have issued a Notice of Hearing alleging that Brian Arthur Kitts and Vesta Capcorp Inc. engaged in a course of conduct which they knew, or ought to have known, perpetrated a fraud on investors. According to the Notice of Hearing:
- Kitts was the guiding mind of Vesta, a company that had a head office in Bragg Creek, Alberta.
- Vesta raised approximately $5.3 million from 20 investors.
- The money was supposed to be used to finance real estate developers or other companies or persons in the real estate industry.
- Instead, approximately $3.3 million was used to pay principal and returns owing to existing investors in a manner consistent with a ponzi scheme. The other approximately $2 million was utilized by Kitts, mainly for his personal use.
The allegations have not been proven.
An appearance to set a date for a hearing will be held on September 13, 2017 at 2:30 p.m. in the ASC Hearing Room on the 5th floor, 250 – 5 Street SW, Calgary, Alberta.
A copy of the Notice of Hearing can be found 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 with fostering a fair and efficient capital market in Alberta and with protecting investors. As a member of the Canadian Securities Administrators, the ASC works to improve, coordinate and harmonize the regulation of Canada's capital markets.
SOURCE Alberta Securities Commission
For further information: For Media Inquiries: Hilary McMeekin, Manager, Communications, 403.592.8186; For Investor Inquiries: ASC Public Inquiries, Toll Free 1.877.355.4488