The Autorité des marchés financiers announced that the Bureau de décision et de révision en valeurs mobilières has issued a reciprocal order against a Toronto-based fund manager accused of committing securities violations.

The AMF reports that Quebec’s BDRVM issued a reciprocal cease trade order affecting Oversea Chinese Fund Limited Partnership, Weizhen Tang and Associates Inc., Weizhen Tang Corporation and Weizhen Tang. It also issued an asset freeze order.

In March, the Ontario Securities Commission issued an order against these firms and individuals, prohibiting them from all trading, denying the benefit of any exemptions and placing them under a freeze order. And in early April, the U.S. Securities and Exchange Commission also secured an asset freeze order against the firm, claiming that it was operating a Ponzi scheme.

None of the allegations have been proven. “Although no evidence was submitted at the hearing that any offence was committed in Quebec, the BDRVM determined there was a real risk that illegal activities would spread to Quebec since the respondents seemed prepared to operate across Canada and targeted in particular the Chinese community with disregard for applicable securities legislation,” the AMF said.

IE