VANCOUVER, April 12 /CNW/ - The British Columbia Securities Commission has settled with a 52-year-old Nelson man who violated securities laws when he sold shares in a B.C. company.
Between May 2007 and January 2009, Alan Geoffrey With raised $351,000 Cdn and $24,932.63 US from four B.C. residents.
In raising the funds for Nelson-based Fine Water Inc., With relied on three types of exemptions from registration and prospectus filings: accredited investor; family, friends and business associates; and minimum amount investment. These exemptions did not apply as the purchasers were not accredited, were not a family member, friend, or business associate of a director or officer of the company although they were friends of other Fine Water shareholders, and they invested less than the $150,000 Cdn required when using the minimum amount exemption.
In a BCSC settlement, With admitted that he traded in securities without being registered and distributed securities without filing a prospectus. With did not gain personally from distributing the securities. He spent all the investor funds trying to put the water business into operation.
Under the settlement agreement, With is prohibited, with one exception, from becoming or acting as a director or officer of any issuer and from engaging in investor relations activities for three years. He must also complete a course of study about the duties and responsibilities of directors and officers. With may act as a director and officer of Fine Water Inc. while the company is involved in civil litigation. He would have had to pay a fine of $5,000 if he was not unemployed and unable to pay.
The B.C. Securities Commission is the independent provincial government agency responsible for regulating trading in securities within the province. You can view the settlement agreement on our website www.bcsc.bc.ca by typing in the search box Alan Geoffrey With, or 2010 BCSECCOM 178.
Learn how to avoid investment fraud at the BCSC's investor education website: www.investright.org.
SOURCE British Columbia Securities Commission
For further information: For further information: Brenda-Lea Brown at (604) 899-6554