Richard Bruce Moore Settles with the Ontario Securities Commission on Insider
TORONTO, April 16, 2013 /CNW/ - The Ontario Securities Commission today
approved a settlement agreement reached between Staff and Richard Bruce Moore
(Moore), who admitted to engaging in illegal insider trading in contravention
of Ontario securities law and conduct contrary to the public interest. This
follows a parallel investigation with Staff of the United States Securities
and Exchange Commission, which announced a similar settlement today in respect
Moore's admissions to the OSC concern two separate instances where he traded
securities wrongfully related to two public issuers, Tomkins plc. and HOMEQ
Moore was an employee of CIBC World Markets in 2010 and admitted that, between
June and July 2010, he purchased securities of Tomkins after deducing, based
partly on confidential information obtained as a result of his dealings with a
client, that the client would likely be acquiring Tomkins.
Moore admitted that his purchases of Tomkins securities were contrary to the
public interest. Specifically, he admitted that his actions fell below the
standard of behaviour expected of someone in his position and given his
extensive capital markets experience, and that he ought not to have made use
of information he obtained by virtue of his position as an employee of a
registrant prior to its general disclosure.
Moore was an employee of UBS Securities in 2012 and admitted that, in March
2012, he received an email in error from a client of UBS, which contained
material, generally undisclosed information related to the client's proposal
to acquire HOMEQ. Moore took immediate steps to purchase securities of HOMEQ
in breach of the insider trading prohibition in the Ontario Securities Act.
"We have made it a priority through our Insider Trading and Market Abuse Team
to identify and pursue cases of insider trading and abusive trading," said Tom
Atkinson, Director of Enforcement at the Ontario Securities Commission. "This
individual used confidential, material information for his own gain, which is
abusive of our capital markets and will continue to attract a vigorous
enforcement response from the OSC."
Under the settlement agreement, subject to certain exceptions, Moore is
prohibited from trading securities and acting as an officer or director of a
public company for a period of ten years and prohibited from becoming a
registrant or an officer and director of a registrant for 15 years.
Moore has undertaken to make a voluntary payment of $300,000, which represents
all of the profits related to his trades in the common shares of Tomkins plus
approximately $25,000. Moore must also pay costs of $75,000 to the Commission.
In relation to the HOMEQ trades, Moore must disgorge all profits obtained of
$43,268.94 and pay an administrative penalty of $86,000, which represents two
times the profits made.
Moore voluntarily brought the HOMEQ conduct to the attention of OSC Staff
during the investigation of the Tomkins conduct. As such, the agreed
sanctions reflect credit for Moore's cooperation as per Staff Notice 15-702.
Staff of the OSC acknowledge the assistance and cooperation of the U.S.
Securities and Exchange Commission and the Jersey Financial Services
Commission in this matter.
A copy of the Order approving the Settlement Agreement with Moore is available
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SOURCE: Ontario Securities Commission
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CO: Ontario Securities Commission
-0- Apr/16/2013 20:38 GMT
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