CALGARY, Nov. 8 /CNW/ - An Alberta Securities Commission (ASC) panel has
issued sanctions against Gordon Ironside and Robert W. Ruff, two former senior
officers of Blue Range Resource Corporation.
The ASC panel has ordered Ironside, the former Blue Range CEO, be denied
the use of the exemptions under Alberta securities laws (except in limited
circumstances) and be permanently banned from holding any position as an
officer or director of any issuer. In its decision, the panel stated, "we are
satisfied from his past actions and continued justifications and deflections
that were Ironside to act once again as a senior officer or director there is
a very serious risk that he would engage in similar unacceptable conduct." The
panel also has ordered Ironside to pay an administrative penalty of $180,000.
The panel has ordered that Ruff, the former Blue Range CFO, be banned
from holding a position as an officer or director of any issuer for 10 years
and pay an administrative penalty of $50,000.
In December 2006 the ASC panel found that Ironside and Ruff, as senior
officers (and Ironside in his position as a director) of Blue Range were
responsible for the preparation and dissemination of information to the public
that did not reflect Blue Range's true economic condition or give market
participants all of the necessary and relevant information to enable a fair
and accurate assessment of Blue Range. The panel found that Ironside and
Ruff's misconduct included:
- withholding relevant information from Blue Range's auditor;
- permitting Blue Range to employ an unusual, possibly unique method
for volumetric reporting of its reserves and production that had not
been disclosed to the public; and
- allowing other misrepresentations in Blue Range's public disclosure.
"Their actions were contrary to the most basic standards that the public
expects -- and that we demand -- of CEOs and CFOs," the panel noted. "We
believe that a strong sanction...will inform senior management and boards of
directors of public issuers involved in the Alberta capital market of the
importance of instilling a culture of compliance with Alberta securities laws
and the importance of implementing practices and procedures that support fair,
accurate and timely disclosure by public issuers of material information to
The two men were also ordered to pay a total of $850,000 of the
investigation and hearing costs.
The ASC is the regulatory agency responsible for administering the
province's securities laws. It is entrusted to foster a fair and efficient
capital market in Alberta and to protect investors. As a member of the
Canadian Securities Administrators, the ASC works to improve, coordinate and
harmonize the regulation of Canada's capital markets.
For further information:
For further information: For Media Inquiries: Tamera Van Brunt,
Director, Communications & Investor Education, (403) 297-2664,
firstname.lastname@example.org; For Investor Inquiries: ASC Public Inquiries, Toll Free