ASC reaches settlement with David Gregor McClurepar The IJ Staff | August 21 2017 11:30AM
The Alberta Securities Commission (ASC) has reached a settlement agreement with David Gregor McClure of Edmonton, who has admitted to multiple breaches of Alberta securities laws, announced the regulator Aug. 18.
The ASC says McClure was “the directing mind” of Bedford Biofuels Inc., Bedford Biofuels Tana Delta Phase 1 Investment Corporation and Art Without Borders Inc., and a major shareholder of Bella Bay Investments (Barbados) Inc.
Distributing shares without being registered
McClure admitted to distributing shares of Bedford, Bedford Tana Delta, Art Without Borders, and Bella Bay without being registered to do so and without filing a preliminary prospectus or prospectus with the ASC’s executive director as required by Alberta securities laws. He also admitted that he traded in the securities of Art Without Borders and Bella Bay without being registered and without any exemptions from this requirement.
He raised $975,000 for Bedford; $72,000 for Bedford Tana Delta; $125,000 for Art Without Borders and $200,000 for Bella Bay by selling shares to investors who did not qualify for any exemptions under Alberta securities laws, says the ASC.
Made misleading or untrue statements
“In addition, McClure admitted to making misleading or untrue statements to three investors concerning the imminent sale of Bedford to Asian buyers. At the time of the statements, no actual buyers existed; $450,000 was obtained from the investors as a result of these statements,” says the ASC.
Under the settlement agreement, McClure will pay the ASC $80,000; will resign all positions held by him as a director or officer of any issuer that relies on exemptions under Alberta securities laws or that distributes securities to the public. He also agreed that, for a period of three years, to refrain from: becoming or acting as a director or officer of any issuer that relies on exemptions under Alberta securities laws or that distributes securities to the public; trading in or purchasing any securities or derivatives (with limited exceptions); relying on any exemptions contained in Alberta securities laws; engaging in any investor relations activities; advising in securities or derivatives; and acting in a management or consultative capacity in connection with activities in the securities market.