By The Book:

(May 28, 2008) The Mutual Fund Dealers Association today commenced disciplinary proceedings against Leo Alexander O’Brien and David Snow.

O’Brien allegedly engaged in excessive trading by processing 166 switches in 22 client accounts without obtaining instructions, approval or authorization from clients.

Snow, the branch manager responsible for O’Brien, allegedly failed to supervise O’Brien’s trading activity between April 2005 and June 2006.

The hearing will take place in July in St. John’s.

BCSC ceases trade order for Burnaby man

(May 28, 2008) The British Columbia Securities Commission has issued a temporary cease trade order against a Burnaby man and two related companies.

Adcapital president Adis Golic, Vancouver-based Adcapital Industries and Adcapital U.S. Inc. are named as respondents in the order. They allegedly traded and distributed securities without a prospectus or proper registration.

From November 2007 to May 2008, they operated a business that promoted Adcapital U.S. securities to potential investors by telephone. Telemarketers allegedly told callers that Adcapital and/or Adcapital U.S. were doing so well they had to turn down money and would accept investors who did not qualify as accredited investors.

Golic is also prohibited from becoming or acting as a director or officer of any issuer, or a registrant or promoter. He is also banned from acting as a management consultant in the securities market.

The BCSC says the order is in effect until June 3, 2008, when a hearing into the issue will be held.

(05/28/08)

Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.