Penal proceedings initiated against Claude Vézeau for insider trading


Montréal – L’Agence nationale d’encadrement du secteur financier (also known by the name "Autorité des marchés financiers" or "AMF") is initiating penal proceedings against Claude Vézeau before the Court of Québec (Criminal and Penal Division), in the judicial district of Laval.

On August 21, 2003, through 9099-3569 Québec Inc., Mr. Vézeau allegedly conducted a transaction on shares of ConjuChem Inc., of which he is a director.

At the time, Mr. Vézeau held privileged information regarding this issuer and thus contravened Section 189.1 of the Québec Securities Act.

That same day, ConjuChem announced positive results regarding clinical studies for a product to treat diabetes.

If found guilty, the minimal fine is twice the profit but not less than $5000, in this case $9630. Nonetheless, the AMF will ask that a fine of $20,000 be imposed.

Established on February 1, 2004, the Autorité des marchés financiers (AMF) is the regulatory and oversight body for Québec's financial sector. The AMF consists of the Commission des valeurs mobilières du Québec, the Bureau des services financiers, the Régie de l'assurance-dépôts du Québec, the Fonds d'indemnisation des services financiers and the Inspector General of Financial Institutions.

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