OSC investigation leads to fraud charges for Smart Prime Group

TORONTO, Dec. 10, 2025 /CNW/ - The Ontario Securities Commission (OSC) is today announcing that Seyed Mohammad Ali Nojoumi (Nojoumi), Behnaz Samavat (Samavat), and Amir Mostoufi (Mostoufi) have been charged with fraud over $5,000 and possession of proceeds of crime, contrary to sections 380(1)(a) and 354(1) of the Criminal Code, respectively.

The group is believed to be the operating minds behind Smart Prime Group Inc. (Smart Prime), an Ontario sole proprietorship claiming to be in the asset management business. Neither Smart Prime nor its operators are registered to sell securities in Ontario.

The OSC alleges the group promised that the funds of 28 investors would be placed in individual trading accounts, but the funds were instead routed to personal and unrelated third-party accounts. The OSC further alleges the investor funds were used for personal expenditures and to pay other investors.  

Mostoufi and Samavat were previously arrested and released. They are respectively scheduled to appear at the Ontario Court of Justice at 50 Eagle St. W. in Newmarket on January 8 and 22, 2026, at 10:30am in 201 ct.

Nojoumi was arrested and charged today. He is being held for bail and will be remanded to a date determined by the court.

This matter began as an OSC investigation into an affinity-related securities investment scheme in York Region. The matter was completed in cooperation with the York Regional Police. The OSC gratefully acknowledges the partnership of the York Regional Police in completing this investigation. This investigation was also assisted by the Financial Transactions and Reports Analysis Centre of Canada (FINTRAC).

These charges arise from an investigation by the OSC's Criminal Investigations & Prosecutions team, which is part of the Enforcement Division of the OSC. They investigate securities-related frauds, market manipulation, and related misconduct, including the investigation of repeat offenders and those who breach Capital Markets Tribunal or court orders and bans. Their primary objective is to protect investors and further enhance confidence in the Canadian capital markets through effective enforcement. Charges laid under the Securities Act are prosecuted by the OSC. Charges laid under the Criminal Code are prosecuted by the Ministry of the Attorney General.

The mandate of the OSC is to provide protection to investors from unfair, improper or fraudulent practices, to foster fair, efficient and competitive capital markets and confidence in the capital markets, to foster capital formation, and to contribute to the stability of the financial system and the reduction of systemic risk. Investors are urged to check the registration of any persons or company offering an investment opportunity and to review the OSC investor materials available at http://www.osc.ca.

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SOURCE Ontario Securities Commission

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