Proceedings

Notice from the
Office of the Secretary

Ontario

Ontario Securities
Commission

20 Queen St. W.
Box 55, Suite 1900
Toronto, ON M5H 3S8
Commission des valeurs mobilières de l'Ontario
FOR IMMEDIATE RELEASE

December 22, 2005


IN THE MATTER OF THE SECURITIES ACT,
R.S.O. 1990, c. S. 5, AS AMENDED

AND

IN THE MATTER OF BRIAN PETER VERBEEK

TORONTOThe Commission issued its Decision and Reasons on Sanctions in the above noted matter.

The Commission ordered that:

▪ Brian Peter Verbeek’s registration is terminated;
▪ he cease trading permanently, except that he may trade for the purposes of his own RRSP;
▪ exemptions available under Ontario securities law will not apply to him;
▪ Mr. Verbeek must resign as a Director or Officer of any issuer and is prohibited from holding such positions in the future;
▪ Mr. Verbeek is reprimanded; and
▪ Mr. Verbeek pay $94,618.75 in costs, pursuant to section 127.1 of the Securities Act.

On July 26, 2005, the Commission found, after the hearing on the merits, that Mr. Verbeek was a registered representative whose conduct was contrary to the Securities Act and the public interest. The Commission found that Mr. Verbeek participated in a scheme in which holders of locked-in RRSPs purchased securities in Canadian Controlled Private Corporations (CCPCs) in exchange for loans from the CCPCs for 60% to 80% of the share purchase price. The holders were mainly low-income, unsophisticated investors having few investments beyond their locked-in RRSPs. The Commission found, among other things, that Mr. Verbeek failed to consider the holders’ investment needs and the suitability of the high-risk CCPC securities.

A copy of the Order is available at www.osc.gov.on.ca

OFFICE OF THE SECRETARY
JOHN P. STEVENSON
SECRETARY


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