January 12, 2006 Insurance

Montréal – The Autorité des marchés financiers (AMF) has initiated penal proceedings before the Court of Québec (Criminal and Penal Division, District of Québec) against Flamidor inc., a company specializing in the sale and installation of residential heating systems, as well as against Jean-Noël Lacroix, who is Flamidor’s sole director.

The AMF alleges that Flamidor sold insurance contracts without being in possession of a license issued to this effect by the AMF, in violation of section 201 of the Act respecting insurance.

Accordingly, the AMF is filing 42 counts against Flamidor for illegally acting as an insurer and 42 counts against Mr. Lacroix. Since the latter is Flamidor’s sole director, he must have been involved in the offence.

The AMF is seeking a total fine of $176,400 in connection with the 84 counts.

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

— 30 —

Information:

Media only:
Philippe Roy (514) 940-2176
Issuers, dealers, advisers and representatives: (877) 525-0337, choose option 9 for English, then 1 for industry
Consumers and investors: (877) 525-0337, choose option 9 for English, then 8 for consumers