The Autorité des marchés financiers reports that, at its request, the Québec Finance Minister has appointed Jean Robillard of Raymond, Chabot, Grant, Thornton, as the provisional administrator of Mount Real Corp., Valeurs mobilières iForum and Services financiers iForum.

Also, at the request of the AMF, the Bureau de décision et de révision en valeurs mobilières issued freeze and cease trading orders against the targeted entities and related companies (Gestion MRACS ltée, Real Vest Investments Ltd, Real Assurance Acceptance Corporation) and a number of directors.

The AMF says that these measures are intended to protect investors. “Based on the information gathered, the AMF has serious reservations regarding the actual value of the securities guaranteed by Mount Real Corporation and its related companies in the amount of $65 million,” it says. In addition, it reports that 15 complaints have been filed with the AMF by investors who claim they have been unable to obtain their interest on these notes or their principal.

The AMF is continuing with its investigation to determine whether any penal proceedings will be launched. No allegations have been made, and nothing has been proven.

In its decision, the BDRVM stated that “the allegations made by the AMF are all serious and appear to indicate that the situation involves a well-structured, multifaceted organization for whom compliance with the law and respect for basic rules of securities investments are not a priority.”

In June, the AMF announced that an investigation into the financial operations of Mount Real Corp. was under way. It adds that it is seeking to establish the nature of the relationships between Mount Real and Norshield. Also last June, a receiver was appointed in the Norshield matter in co-operation with the Ontario Securities Commission.