The New Brunswick Securities Commission announced that its staff intends to seek a cease-trade order against several firms and individuals alleging that they improperly sold shares to investors.

The NBSC said that staff intend to seek an interim cease-trade order against Locate Technologies Inc., Tubtron Controls Corp., Bradley Corporate Services Ltd., 706166 Alberta Ltd., and several individuals while they continue an investigation. Staff are also requesting that the respondents provide a complete list of all persons from whom they have accepted money for shares, it says.

It says that its staff began investigating earlier this year when it received complaints from New Brunswickers who had purchased shares in Locate and Tubtron but had never received any share certificates.

“Staff indicate they intend to bring further proceedings in the coming months, and their request comes after a lengthy and ongoing investigation into the activities of Locate and Tubtron in New Brunswick,” it says. However, nothing has been proven in this case. A hearing will be held on October 15.

“Documents filed with the commission secretary allege that Locate and Tubtron sold shares to and accepted money for shares from New Brunswickers without being in compliance with New Brunswick securities law,” the NBSC reports, noting that Locate and Tubtron have a large number of New Brunswick shareholders. “In support of their interim cease-trade order request, staff further allege that the respondents have made misrepresentations to investors regarding the true financial state of Locate and also made misrepresentations to commission staff during the course of their investigation.”