The Ontario Securities Commission and Investment Industry Regulatory Organization of Canada have applied to the Superior Court of Justice of Ontario – Commercial List to confirm that their proposed plan to distribute funds to investors who purchased third-party Asset-Backed Commercial Paper is permitted by an earlier court order.
The OSC and IIROC have asked the court to rule that the order dated June 5, 2008 by the Honourable C. Campbell J. does not preclude them from distributing $59.875 million received from the following five investment dealers in settling ABCP enforcement actions:
· Canadian Imperial Bank of Commerce/CIBC World Markets Inc. and HSBC Bank of Canada agreed to pay $21.7 million and $5.925 million, respectively, to the OSC.
· Scotia Capital Inc., Canaccord Financial Ltd. and Credential Securities Inc. agreed to pay $28.95 million, $3.1 million and $200,000, respectively, to IIROC.
The application outlines the OSC’s and IIROC’s proposed plan to distribute the funds to certain eligible investors who purchased ABCP from a settling dealer.
The application is scheduled to be heard on March 13, 2012 in Toronto. More information on the proposed distributions will be published by the OSC and IIROC following the court’s decision.