CALGARY, Feb. 27, 2014 /CNW/ - The Alberta Securities Commission (ASC) has found that Platinum Equities Inc. and Platinum 5 Acres and a Mule Limited Partnership engaged in a course of conduct that perpetrated a fraud on investors, and that Shariff Chandran authorized, permitted or acquiesced in the latter's fraud.
An ASC panel also found that:
- each of Platinum Equities Inc., Deerfoot Court Real Estate Investment Fund Limited Partnership, Glenmore & Centre Retail Limited Partnership, Platinum 5 Acres and a Mule Limited Partnership, PMIC II Investments Ltd., and Qualia Real Estate Investment Fund VI Limited Partnership illegally traded and distributed securities, and Shariff Chandran and Chitra Chandran variously authorized, permitted or acquiesced in such conduct;
- each of Platinum Equities Inc., Glenmore & Centre Retail Limited Partnership, and Platinum 5 Acres and a Mule Limited Partnership made misrepresentations to investors, and Shariff Chandran and Chitra Chandran each authorized, permitted or acquiesced in the limited partnerships' misrepresentations; and
- Shariff Chandran and Chitra Chandran acted contrary to the public interest by failing to provide appropriate oversight of Platinum Equities Inc.'s salespeople.
In making its decision, the ASC panel noted: "A course of conduct that perpetrates a fraud on investors is self-evidently inconsistent with investor protection and capital-market fairness and efficiency. It harms those directly affected, and jeopardizes the confidence of others in the capital market, with adverse implications for legitimate capital-raising."
The ASC panel set dates in March 2014 for the purpose of scheduling dates for providing evidence and submissions on what, if any, orders for sanctions and costs ought to be made.
A copy of the decision 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
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