In a settlement agreement with the British Columbia Securities Commission (BCSC), a B.C. man has agreed to a five-year market ban and a payment of almost $30,000 to settle allegations that he participated in an illegal distribution.
The BCSC settled with Daniel Quo Ming Sam, who admitted that he engaged in an illegal distribution of securities by introducing investors to the Global Group of Companies, which raised approximately $11.7 million from investors without filing a prospectus. Sam, who also was not registered, introduced seven of those investors to the scheme, and they collectively invested almost $350,000. Sam received $19,469 in commissions for those introductions.
In settling with the commission, Sam acknowledged that he breached the registration and prospectus requirements. He agreed to pay to $29,469 to settle the case; and, he is also banned from trading in securities (with limited exceptions), from acting as a promoter or registrant, and from engaging in investor relations, among other things, for five years.
The settlement notes that Sam invested $38,100 of his own money in the Global Group of Companies, and has no reasonable prospect of recovering those funds.