IN a settlement agreement with the British Columbia Securities Commission, a B.C. man has agreed to pay $85,000 and ordered permanently banned from securities markets for acting contrary to the public interest when he concealed his ownership stake in a B.C. Over-the-Counter reporting issuer prior to selling his shares.
Alnoor Ramji admitted he participated in a scheme to conceal his ownership stake in Clean Power Concepts Inc. using offshore nominee accounts to conceal his identity and obtain undisclosed control of 16 per cent of Clean Power’s shares. Clean Power, a Nevada company, was a B.C. OTC reporting issuer during the material times.
The trading accounts obtained by Ramji and his nominees were in the name of companies incorporated in Panama or Belize, and were provided by Gibraltar Global Securities. (Gibraltar is a Bahamian broker / dealer that was permanently banned from B.C.’s capital markets in November 2012.)
Between December 20, 2010, and January 20, 2011, Ramji and the nominees sold approximately 35.85 million shares of Clean Power and generated proceeds of about USD$8.3 million around the time a Montreal public relations firm carried out an internet-based promotional campaign on Clean Power. Ramji, directly and through the nominees, instructed Gibraltar to wire the proceeds to bank accounts in Hong Kong, Switzerland, Belize and Panama, in the names of other persons.
Ramji, as an insider of Clean Power, admitted he breached securities laws by failing to file a report disclosing his beneficial ownership of, or control or direction over, Clean Power shares.
As part of the settlement, Ramji is permanently banned from B.C.’s securities markets. He must resign any position he holds as a director and officer of any issuer and he is permanently prohibited from becoming or acting as a director or officer of any issuer or registrant. Ramji is also permanently banned from acting in a management or consultative capacity in connection with activities in the securities market and from engaging in investor relations activities.
The B.C. Securities Commission is the independent provincial government agency responsible for regulating trading in securities within the province. You may view the settlement agreement on our website www.bcsc.bc.ca by typing Alnoor Ramji or 2014 BCSECCOM 389 in the search box.