Securities

Montréal – The Autorité des marchés financiers (AMF) has launched penal proceedings in the Court of Québec (Criminal and Penal Division), district of Montréal, against six individuals, namely, Joseph Simon Lacroix, Michael Purvis, Michael J. Moore, John Pittaro, Christian Viau and Ian Lauchlan.

In its suit against Joseph Simon Lacroix, the AMF has filed 77 charges and is seeking fines totalling $1,155,000 plus costs for:

  • assisting, by act or omission, Digital World Financial Inc. with the distribution of a form of investment governed by the Securities Act (the "Act") without a prospectus approved by the regulatory authority, thereby violating sections 11 and 208 of the Act.

The fines being sought in respect of Joseph Simon Lacroix, who acted as an officer and director of Digital World Financial Inc., are three times the minimum amount prescribed by law.

Michael Purvis is facing four counts, and the AMF is seeking fines totalling $12,000 plus costs for:

  • assisting, by act or omission, Digital World Financial Inc. with the distribution of a form of investment governed by the Act without a prospectus approved by the regulatory authority, thereby violating sections 11 and 208 of the Act (2 counts);
  • acting as a dealer without being registered as such with the regulatory authority, thereby violating section 148 of the Act (2 counts).

As for Michael J. Moore, John Pittaro, Christian Viau and Ian Lauchlan, each is facing two counts, and the AMF is seeking fines totalling $6,000 against each individual plus costs for:

  • assisting, by act or omission, Digital World Financial Inc. with the distribution of a form of investment governed by the Act without a prospectus approved by the regulatory authority, thereby violating sections 11 and 208 of the Act (one count against each of the four individuals);
  • acting as a dealer without being registered as such with the regulatory authority, thereby violating section 148 of the Act (one count against each of the four individuals).

On February 14, 2005, the Bureau de décision et de révision en valeurs mobilières issued a cease trade order against Joseph Simon Lacroix and Digital World Financial Inc. The order is still in effect.

To pursue activities as a securities dealer or adviser, a person is required to register with the AMF. Likewise, firms that seek to issue a public offering are required to file a prospectus with or be granted a prospectus exemption by the AMF.

The Autorité des marchés financiers (AMF) is the regulatory and oversight body for Québec's financial sector.

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