The Alberta Securities Commission (ASC) has ordered Alberta businessman Lorne Drever and three Alberta businesses, Locate Technologies Inc., Tubtron Controls Corp., and 706166 Alberta Ltd. be banned from trading or using any exemptions under Alberta Securities laws until otherwise ordered by the ASC.
Drever is sole director and president of Locate and Tubtron and the sole director and shareholder of 706166 Alberta Ltd.
In its application, ASC staff presented evidence to an ASC panel that indicated Locate conducted a recent distribution of its securities to Alberta investors, and that both Locate and Tubtron have distributed their securities to Alberta investors over the past several years without fully complying with Alberta securities laws.
The ASC panel determined that the parties “pose a risk to Alberta investors and the Alberta capital market.”
The ASC panel’s reciprocal order follows an April 10 New Brunswick Securities Commission (NBSC) temporary order banning these parties from trading and the use of exemptions. The NBSC alleges the parties:
- engaged in trading contrary to a Court Order and contrary to undertakings provided to the NBSC;
- made misrepresentations to the NBSC;
- accepted subscription agreements and subscription funds from investors without issuing share certificates; and,
- in the case of 706166 Alberta Ltd., received money from Locate subscribers and spent those funds on apparently unrelated expenses.
The NBSC order is in place until the NBSC reaches a final determination in the matter. A full hearing by the NBSC has been scheduled for August 25.
A copy of the decision is available on the ASC website at www.albertasecurities.com.