British Columbia Securities Commission

British Columbia Securities Commission

July 04, 2008 08:00 ET

BCSC Executive Director's Bulletin: Securities Regulator Gives Notice of a Hearing Into Alleged Insider Trading

VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 4, 2008) - The executive director of the British Columbia Securities Commission has issued a notice of hearing alleging that two Quebec residents illegally bought shares of a TSX Venture traded company before it disclosed to the market news about a mineral claims acquisition.

The notice of hearing says that between March 4 and 12, 2007, Kegam Kevin Torudag and Lai Lai Chan were involved in negotiations to sell 85 Quebec mineral claims to Icon Industries Limited, a B.C.-based company listed on the TSX Venture Exchange. The notice alleges that by March 12, Torudag and his partner reached an oral agreement with Icon to assign their option to purchase the mineral claims, which Chan owned, to Icon.

On March 13, Torudag and his partner assigned the mineral claims option to Icon, and the company disclosed the information to the market that afternoon. The notice alleges Torudag and Chan bought Icon shares based on material information before the company issued the news release disclosing the information to the market.

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 July 15, 2008 at 9 a.m.

The B.C. Securities Commission is the independent provincial government agency responsible for regulating trading in securities within the province. You may view notices of hearings on our website www.bcsc.bc.ca. If you have questions, contact Ken Gracey, Media Relations, 604-899-6577.

Learn how to avoid investment fraud at the BCSC's investor education website: www.investright.org.

Contact Information

  • British Columbia Securities Commission
    Ken Gracey
    Media Relations
    (604) 899-6577 or (B.C. & Alberta) 1-800-373-6393
    Website: www.bcsc.bc.ca