January 18, 2010 Decisions and Freeze and cease trade orders Securities

Montréal – On 15 January, 2010, Judge Jean Sirois of the Court of Québec (Criminal and Penal Division), district of Terrebonne, handed down a guilty verdict against Stevens Demers, former president of Enviromondial.

Stevens Demers was found guilty of 64 charges brought against him by the Autorité des marchés financiers (the “AMF”) in February 2008: 32 charges for having aided Enviromondial inc. and United Environmental Energy Corporation with illegal distributions without a prospectus and 32 charges for aiding the companies with illegally pursuing activities as a securities dealer.

The date for sentencing hearings has not yet been set. The AMF will be seeking a prison term and fines totalling $480,000.

In August 2009, Stevens Demers, previously found guilty of 346 violations of the Securities Act in the Enviromondial matter, was sentenced to 2 1/2 years in prison and fined $1,097,500. This sentence is currently on appeal in the Superior Court of Québec.

The AMF believes economic crimes are serious and harmful and that perpetrators should be penalized with maximum deterrence.

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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Information Centre:
Québec City: 418-525-0337
Montréal: 514-395-0337
Toll-free: 1-877-525-0337

Additional news

• December 1^st, 2010 Enviromondial - Nathaly Demers fined $416,000
• July 5, 2010 Enviromondial - Second prison term for Stevens Demers
• 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