TORONTO, Sept. 19 /CNW/ - The Ontario Securities Commission (OSC) today
issued a Temporary Order under Section 127 (5) of the Securities Act
prohibiting short selling of securities of certain financial sector issuers
that are listed on the Toronto Stock Exchange (TSX) and are also interlisted
in the United States (with the exception of one issuer whose shares are
"We want to make it clear that we will take the appropriate steps
necessary to protect our markets and ensure that they are not used for
purposes of regulatory arbitrage," said OSC Chair David Wilson. "We will
monitor trading in securities of other Canadian financial issuers and take
action if necessary."
This Order is being issued as a precautionary matter with respect to
short selling of the securities of financial sector issuers subject to the
U.S. Securities and Exchange Commission (SEC) short selling order.
The OSC took the action in its capacity as lead regulator of the TSX. The
action taken by the OSC today supports the action taken by the SEC earlier
today. The U.K. Financial Services Authority took similar action this week.
The issuers affected are: Aberdeen Asia-Pacific Income Investment Company
Ltd., Bank of Montreal, The Bank of Nova Scotia, Canadian Imperial Bank of
Commerce, Fairfax Financial Holdings Limited, Kingsway Financial Services
Inc., Manulife Financial Corporation, Quest Capital Corp., Royal Bank of
Canada, Sun Life Financial Inc., Thomas Weisel Partners Group Inc., The
Toronto-Dominion Bank, and Merrill Lynch & Co., Canada Ltd.
This Order will be in effect until October 3, 2008, unless extended by
Order of the Commission. The Order is available on the OSC website at
For further information:
For further information: For Media Inquiries: Wendy Dey, Director,
Communications & Public Affairs, (416) 593-8120; Laurie Gillett, Manager,
Public Affairs, (416) 595-8913; Carolyn Shaw-Rimmington, Assistant Manager,
Public Affairs, (416) 593-2361; For Investor Inquiries: OSC Contact Centre,
(416) 593-8314, 1-877-785-1555 (Toll Free)