Securities

Montréal – The Autorité des marchés financiers (AMF) has launched legal proceedings against Kenneth Battah, Julien McDuff and the Ontario-based firm Synergy Group (2000) Inc. in the Court of Québec (Criminal and Penal Division), district of Joliette, and is seeking $252,000 in fines.

The AMF has filed 18 charges against Kenneth Battah and is seeking fines totalling $108,000 for:

  • pursuing activities as a securities dealer without being registered as such with the AMF, thereby violating sections 148 and 202 of the Securities Act (the "Act") (9 counts), and
  • aiding, by act or omission, Synergy Group (2000) Inc. with the distribution of a form of investment governed by the Act, without holding a prospectus approved by the AMF, thereby violating sections 11 and 202 of the Act, with reference to sections 204 and 208 (9 counts).

As well, the AMF has filed four charges against Julien McDuff and is seeking $24,000 in fines for:

  • pursuing activities as a securities dealer without being registered as such (2 counts), and
  • aiding, by act or omission, Synergy Group (2000) Inc. with the distribution of a form of investment governed by the Act, without holding a prospectus approved by the AMF (2 counts).

In addition, the AMF has filed 12 charges against Synergy Group (2000) Inc. and is seeking $120,000 in fines for:

  • distributing a form of investment governed by the Act, without holding a prospectus approved by the AMF, thereby violating sections 11, 202 and 204 of the Act.

The fines being sought are double the minimum fines prescribed by law. In determining these fines, the AMF took into account the objective and subjective seriousness of the offences, as well as general deterrence and the need to bolster public confidence in the markets.

Synergy Group (2000) Inc. was slapped with a reciprocal cease trade order by the Bureau de décision et de révision en valeurs mobilières (BDRVM) on August 4, 2008. On September 29, 2008, the BDRVM also issued a cease trade order against Kenneth Battah and ordered him not to pursue activities as a securities adviser.

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

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