The Autorité des marchés financiers is bringing illegal insider trading charges against Benoît Laliberté, former CEO of Jitec Inc.

The AMF reports that Laliberté faces 48 counts, and it is seeking fines totaling $1,760,180. He is accused of insider trading in the securities of Jitec, while having privileged information about the company, assisting Jitec in making a misrepresentation in press releases, and failing to file a report disclosing a change in his control over securities of Jitec. None of these allegations have been proven in court.

In March, the AMF assigned the task of conducting a judicial analysis of the Jitec file to two independent attorneys, Sophie Bourque and Marc-André Fabien. “The decision to transfer this file to independent experts was made to maintain the AMF’s neutrality and to avoid any appearance of conflict of interest, given the existence of a lawsuit by the former president of Jitec against the regulator,” the AMF said.

The independent lawyers were charged with evaluating the investigation report and making the appropriate recommendations to the AMF. “The examination of the evidence gathered during the investigation could lead to the filing of penal proceedings, to the request for a hearing before the Bureau de décision et de révision en valeurs mobilières or to the closing of the file,” it said back in March.

Also, today the MAF said that Ali Reza Bassiri faces six counts and is accused of giving an undertaking relating to the future value or price of the securities of Jitec. The AMF is seeking fines of $30,000 against Bassiri. And, it’s seeking $40,000 of fines against Martin Gendron. He stands faces eight counts, and is accused of giving an undertaking relating to the future value or price of the securities of Jitec. These allegations have not been proven either.

The AMF notes that a class action lawsuit has already been launched by investors in this case. The suit against Jitec, Laliberté and three brokerage firms was certified by a judge in 2002, and in July of this year another court denied motions to dismiss it.