July 5, 2010 Decisions and Freeze and cease trade orders Securities

Montréal – On June 28, 2010, Judge Jean Sirois of the Court of Québec, district of Terrebonne, handed down a second prison term and new fines totalling $240,000 on Stevens Demers, one of the founders of Enviromondial Inc.

In January 2010, Stevens Demers was found guilty on 64 counts of illegally pursuing activities as a securities dealer and aiding with an illegal distribution. In view of this guilty verdict, Judge Sirois handed down a three-year prison term and imposed fines of $192,000 for aiding Enviromondial Inc. and United Environmental Energy Corp. with illegal distributions on 32 occasions between February 2003 and May 2005. The judge also fined him $48,000 for illegally pursuing activities as a securities dealer on 32 occasions during the same period.

Stevens Demers was found guilty in September 2008 of 346 offences under the Securities Act and is currently serving a 30-month prison term. Judge Sirois ordered that the new three-year sentence be served concurrently with the first sentence and that the $240,000 fine be added to the $1,297,000 of previously imposed fines.

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

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Information:

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Additional news

• January 18, 2010 Enviromondial - Stevens Demers found guilty of 64 new charges
• September 9, 2009 Enviromondial : AMF appealing sentence against Stevens Demers
• August 5, 2009 Enviromondial : Stevens Demers sentenced to
  2 1/2 years in prison and fined over $1 million
• September 29, 2008 Enviromondial Inc. - Stevens Demers guilty on all 346 charges
• September 23, 2008 Enviromondial - Provisional administrator appointed
• May 6, 2008 Enviromondial - AMF launches penal proceedings against Nathaly Demers
• February 27, 2008 Enviromondial Inc. - AMF asking for additional prison term - 64 new charges against Stevens Demers
• October 18, 2007 Enviromondial - Appeal of Stevens Demers dismissed may not act as director or officer
• October 1^st, 2007 Enviromondial inc. - BDRVM dismisses objections to cease trade orders
• August 30, 2007 Enviromondial - Further prison term sought against Stevens Demers
• June 21, 2007 Appeal by Stevens Demers dismissed
• March 5, 2007 Enviromondial - AMF files 162 charges against Stevens Demers / Seeking $1.2 million fine and prison term
• December 18, 2006 Freeze against Enviromondial lifted
• September 18, 2006 Renewal of freeze order against Enviromondial
• June 28, 2006 Renewal of freeze order against Enviromondial
• April 10, 2006 Renewal of freeze order against Enviromondial - Partial Lifting for Benefit of Shareholder
• January 11, 2006 Renewal of Freeze Order Against Enviromondial
• October 26, 2005 Freeze order against Enviromondial extended
• July 28, 2005 Freeze order against Enviromondial extended
• May 9, 2005 Freeze order against Enviromondial extended
• February 24, 2005 Court confirms legality of freeze order against Enviromondial
• December 15, 2004 Stevens Demers found guilty
• November 26, 2004 BDRVM Extends Freeze Order Against Enviromondial
• August 31, 2004 Bureau de décision et de révision en valeurs mobilières extends freeze order against Enviromondial
• June 25, 2004 Prohibition from acting as a director sought against Stevens Demers
• May 20, 2004 Stevens Demers pleads guilty to 33 counts
• April 23, 2004 The Autorité des marchés financiers puts an end to a contempt proceeding in the enviromondial file
• March 10, 2004 The Bureau de décision et de révision en valeurs mobilières extends the freeze order against Enviromondial
• March 9, 2004 Special rule ordering six people to appear to answer a contempt of court charge in the Enviromondial matter