VANCOUVER, May 12, 2017 /CNW/ - The Executive Director of the British Columbia Securities Commission (BCSC) has issued a notice of hearing alleging that three B.C. men and three companies committed fraud against two investors.
Alan Braun and Jerry Braun of Surrey, B.C. are the only directors of Braun Developments (B.C.) Ltd. (Braun Developments) and they were also directors of 0985812 B.C. Ltd., which did business as TerraCorp Investment Ltd. (TerraCorp).
Steven Maxwell (a.k.a. Steven Fassman), a B.C. resident during the relevant period, was the de facto director of 8022275 Canada Inc. (275 Co.) and he was an executive vice president of TerraCorp.
The notice alleges that the respondents took $450,000 from two investors and told the investors their funds would be used to purchase specific properties in Edmonton, Alberta to generate returns. Both investors were told they would receive a 50 per cent return on investment within 60 days. 275 Co. was the purported owner of the Edmonton properties.
The Executive Director alleges that the respondents never used the investors' funds to buy the Edmonton properties and that 275 Co. never owned the properties. Instead, Braun Developments, Alan and Jerry Braun, Maxwell, and 275 Co. spent the investors' funds on other things, including a personal mortgage and credit card payments, and cash withdrawals.
These allegations have not been proven. Counsel for the Executive Director will apply to set dates for a hearing into the allegations before a panel of commissioners on June 27, 2017 at 9 a.m.
You may view the notice of hearing on our website, www.bcsc.bc.ca, by typing Alan Braun, Jerry Braun, Steven Maxwell, Braun Developments (B.C.) Ltd., 8022275 Canada Inc., 0985812 B.C. Ltd., TerraCorp Investment Ltd. or 2017 BCSECCOM 114 in the search box. Information about disciplinary proceedings can be found in the Enforcement section of the BCSC website.
Please visit the Canadian Securities Administrators' (CSA) Disciplined List for information relating to persons and companies disciplined by provincial securities regulators, the Investment Industry Regulatory Organization of Canada (IIROC) and the Mutual Fund Dealers Association of Canada (MFDA).
About the British Columbia Securities Commission (www.bcsc.bc.ca)
The British Columbia Securities Commission is the independent provincial government agency responsible for regulating capital markets in British Columbia through the administration of the Securities Act. Our mission is to protect and promote the public interest by fostering:
- A securities market that is fair and warrants public confidence
- A dynamic and competitive securities industry that provides investment opportunities and access to capital
Learn how to protect yourself and become a more informed investor at www.investright.org
SOURCE British Columbia Securities Commission
For further information: Media Contact: Alison Walker, 604-899-6713; Public inquiries: 604-899-6854 or 1-800-373-6393 (toll free), [email protected]