Securities Decisions and Freeze and cease trade orders
Montréal – The Autorité des marchés financiers (AMF) obtained a judgment on August 30, 2005 against Constant Vanier on failure to appear as the latter was ordered to reimburse the AMF $248,170.51 with interest at the annual rate of 5% and the additional indemnity provided for under article 1619 of the Civil Code of Québec as of September 4, 2004, and costs.
The AMF launched civil proceedings against Mr. Vanier on June 27, 2005 before the Superior Court in the district of Saint-François for a claim totalling $248,170.51 pursuant to its legal and conventional recourse in subrogation under section 277 of An Act respecting the distribution of financial products and services and articles 1651 and following of the Civil Code. The Fonds d’indemnisation des services financiers (the compensation fund now part of the AMF) paid a total of $248,170.51 to seven claimants in order to compensate for the injury directly incurred as a result of the fraudulent conduct of Mr. Vanier and his firm Services financiers Constant Vanier.
Moreover, the AMF has also launched penal proceedings against Mr. Vanier before the Court of Québec (Criminal and Penal Division) in the judicial district of Saint-François. Mr. Vanier faces sixteen counts for having violated the Québec Securities Act (“Act”).
Mr. Vanier is accused of the following:
- Acting as a dealer without being registered with the Commission des valeurs mobilières du Québec (Québec Securities Commission, now part of the AMF), in violation of section 148 of the Act. He faces eight counts in this regard and is liable to a minimum fine of $1,000 for each count.
- Assisting Services financiers Constant Vanier inc. (“SFCV”) with the distribution of debt securities without a prospectus approved by the Commission, thereby violating section 11 of the Act. He faces eight counts in this regard and is liable to a minimum fine of $5,000 for each count.
If found guilty on all counts, Mr. Vanier could be ordered to pay a minimum fine of $48,000.
The AMF is the regulatory and oversight body for Québec’s financial sector.
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Philippe Roy (514) 940-2176
Issuers, dealers, advisers and representatives: (877) 525-0337, dial 9 for English, then choose option 1 for industry
Consumers and investors: (877) 525-0337, dial 9 for English, then choose option 2 for consumers