BCSC panel finds that Burnaby man illegally distributed securities
VANCOUVER, July 16, 2014 /CNW/ - A British Columbia Securities Commission panel has found that Adis Golic illegally distributed securities.
The panel found that Golic, a Burnaby resident during the relevant period, breached securities laws when he sold securities of AD Capital U.S. Inc. to three investors for total proceeds of $42,000 without a prospectus and without being registered. AD Capital U.S. was a Nevada-based corporation with a business address in Burnaby.
The allegations against Golic were first published in a May 2008 notice of hearing issued by BCSC staff. The hearing into the allegations was adjourned generally on March 26, 2009, pending the outcome of criminal proceedings against Golic.
In February 2010, charges were brought against Golic in the Provincial Court of British Columbia under the Securities Act and the Offences Act. There were three counts against Golic:
1. between November 22, 2007 and May 12, 2008, he engaged in the distribution of securities without being registered to do so, contrary to section 34(1) and 155(1)(b) of the Act;
2. between November 22, 2007 and May 12, 2008, he engaged in the distribution of securities without filing a prospectus, contrary to section 61 and 155(1)(b) of the Act;
3. between March 1, 2008 and May 31, 2008, he made misrepresentations and omissions, contrary to section 50 and 155(1)(b) of the Act.
On October 17, 2011, after trial, Golic was convicted of selling securities without a prospectus and without being registered. He was sentenced to 60 days in jail, together with $40,000 in restitution. He was acquitted on the charge of making misrepresentations.
Referring to the trial judge's findings, the panel noted that, "Golic purposefully avoided the securities regulatory requirement, and…was instrumental in the running of a call center or "boiler room" for the sales of securities. Significant deterrence is warranted for those who set up their affairs with an intent to disregard securities laws."
The panel ordered that Golic be prohibited from trading in securities, purchasing securities or exchange contracts, and from becoming or acting as a director or officer of any issuer or registrant for a period of seven years. He is also banned, for the same period, from becoming or acting as a registrant or promoter, from engaging in investor relations activities, and from acting in a management or consultative capacity in connection with the securities market.
You may view the findings decision on our website www.bcsc.bc.ca by typing Adis Golic or 2014 BCSECCOM 265 in the search box. Information regarding disciplinary proceedings can be found in the Enforcement section of the BCSC website.
Please visit the Canadian Securities Administrators' Disciplined Persons List for information relating to persons disciplined by provincial securities regulators, the Investment Industry Regulatory Organization of Canada (IIROC) and the Mutual Fund Dealers Association (MFDA).
About the British Columbia Securities Commission (www.bcsc.bc.ca)
The British Columbia Securities Commission is the independent provincial government agency responsible for regulating capital markets in British Columbia through the administration of the Securities Act. Our mission is to protect and promote the public interest by fostering:
- A securities market that is fair and warrants public confidence
- A dynamic and competitive securities industry that provides investment opportunities and access to capital
SOURCE British Columbia Securities Commission