The Alberta Securities Commission (ASC) has banned an Edmonton couple and three companies after finding they acted as dealers without registration and illegally distributed securities in relation to real estate developments.
Khom Wong and Janeen Wong acted variously as directors or officers of 2 Wongs Make It Right Enterprises Ltd., 1409779 Alberta Ltd., Integrity Plus Management Inc., the panel found.
The panel also found that Khom Wong acted as an advisor without registration, made misrepresentations to investors and perpetrated a fraud.
These findings were consistent with admissions made by the Wongs and their companies, the ASC says.
As penalties, the ASC panel ordered that:
- all trading in or purchasing of securities of 2 Wongs Make It Right Enterprises Ltd., 1409779 Alberta Ltd. and Integrity Plus Management Inc. must permanently cease;
- 2 Wongs Make It Right Enterprises Ltd., 1409779 Alberta Ltd. and Integrity Plus Management Inc. are permanently banned from trading in or purchasing securities, using exemptions contained in Alberta securities laws, acting as a registrant, investment fund manager or promoter, and acting in a management or consultative capacity in connection with securities market activities;
- Khom Wong and Janeen Wong are banned for 10 years from trading in or purchasing securities and using exemptions contained in Alberta securities laws (with limited exceptions), advising in securities, acting as a director or officer of any issuer, acting as a registrant, investment fund manager or promoter, and acting in a management or consultative capacity in connection with securities market activities;
- Khom Wong pay an administrative penalty of $35,000 and Janeen Wong pay an administrative penalty of $15,000; and
- Khom Wong and Janeen Wong pay, jointly or individually, $7,500 in investigation and hearing costs.
The ASC panel noted that the “seriousness of the fespondents’ misconduct and the profound harm done to investors by the fespondents’ misconduct necessitate the imposition of sanctions that will provide an appropriate measure of specific deterrence” and that “[g]iven the seeming ease with which the Respondents raised considerable money in our capital market to the severe detriment of investors, it is also essential to impose sanctions that will provide a significant measure of general deterrence.”