A panel of the British Columbia Securities Commission has reciprocated enforcement orders against two men who pleaded guilty to investment fraud in two separate criminal cases – one in British Columbia, the other in the U.S.
The panel permanently banned Edward Earl Chieduch from trading in or purchasing securities or exchange contracts, acting as a director or officer of any issuer or registrant, acting as a registrant or promoter, acting in a management or consultative capacity in the securities markets, or engaging in investor relations activities.
Chieduch had pleaded guilty in B.C. Provincial Court in Kamloops to a single count of fraud in connection with the defrauding of eight investors in a Ponzi scheme between 2005 and 2010. He was sentenced in 2012 to two years in jail.
The panel also banned Mitchell Gordon Adam for four years from trading in or purchasing securities or exchange contracts, acting as a director or officer of any issuer or registrant, acting as a registrant or promoter, acting in a management or consultative capacity in the securities markets or engaging in investor relations activities.
Adam pleaded guilty in U.S. federal court in 2015 to conspiracy to commit securities fraud and mail fraud for his part in a stock market manipulation scheme involving a publicly-traded company, Lido International Corporation. He was sentenced by the U.S. federal court to time served.
About the British Columbia Securities Commission (www.bcsc.bc.ca)
The British Columbia Securities Commission is the independent provincial government agency responsible for regulating capital markets in British Columbia through the administration of the Securities Act. Our mission is to protect and promote the public interest by fostering:
- A securities market that is fair and warrants public confidence
- A dynamic and competitive securities industry that provides investment opportunities and access to capital
