ASC alleges Proforma Capital and related parties breached Alberta securities lawsStaff Writer | January 25, 2017
Alberta Securities Commission (ASC) issued a Notice of Hearing against Robert Joseph Frost, Joseph Antonio Francese, Scott Anthony Reed, Proforma Capital Bond (II) Corporation (PCBC II), and Proforma Capital Inc. in connection with the sale of securities in PCBC II referred to as “Profit Notes.”
Notice of Hearing $30 million was raised from PCBC II investors
Staff also allege that the respondents made misleading or untrue statements to investors, and failed to disclose material information that was necessary to make the statements not misleading.
These misrepresentations related to the nature and degree of risk assumed by investors, and were contained in offering memoranda, promotional materials, salesperson training materials, and in dealings with investors.
According to the Notice of Hearing, approximately $30 million was raised from PCBC II investors between February 26, 2011 and January 24, 2012.
The allegations have not been proven. An appearance to set a date for a hearing will be held on April 19, 2017. ■