News Release
ASC issues public interest order against Benjamin Daniel Koorbatoff in response to criminal fraud conviction
Jun 03, 2024
CALGARY – June 3, 2024 – The Alberta Securities Commission (ASC) issued an order on May 29, 2024 permanently prohibiting Benjamin Daniel Koorbatoff from participating in Alberta’s capital market after he was convicted in the Court of King’s Bench on one count of fraud over $5,000 contrary to section 380(1)(a) of the Criminal Code. Koorbatoff's August 2022 conviction arose from a fraudulent misrepresentation he made in connection with a transaction involving the sale of shares of a public company. He was sentenced in April 2023 to four years in prison and ordered to pay restitution of $800,000.
In 2015, Koorbatoff agreed to sell eight million shares in a publicly traded company to an acquaintance for $800,000. Koorbatoff failed to disclose that he did not have shares and that he instead owned debentures convertible into shares. After he received payment in full, Koorbatoff did not convey the shares to the acquaintance and claimed that the transaction was null and void. The acquaintance received a share certificate approximately three years later, at a time when the shares were essentially worthless.
When considering the order, an ASC panel found that Koorbatoff’s fraud conviction arose from a transaction related to securities and that it was in the public interest to issue an order against him under the Securities Act (Alberta). In its decision the panel noted that access to the capital market is a privilege, and that privilege was abused in this case.
The panel ordered that Koorbatoff:
- must permanently cease trading in securities or derivatives, and that all exemptions contained in Alberta securities laws do not apply to him;
- must immediately resign all positions he holds, and is permanently prohibited from becoming or acting, as a director or officer of any issuer, registrant, investment fund manager, recognized exchange, recognized self-regulatory organization, recognized clearing agency, recognized trade repository or recognized quotation and trade reporting system; and
- is permanently prohibited from engaging in investor relations activities, advising in securities or derivatives, becoming or acting as a registrant, investment fund manager or promoter, and acting in a management or consultative capacity in connection with activities in the securities market.
A copy of the decision is available on the ASC website at asc.ca.
The ASC is the regulatory agency responsible for administering the province's securities laws. It is entrusted with fostering a fair and efficient capital market in Alberta and with protecting investors. As a member of the Canadian Securities Administrators, the ASC works to improve, coordinate and harmonize the regulation of Canada's capital markets.
For further information please contact:
For Media Inquiries:
For Investor Inquiries:
Tanja McMorris
Alberta Securities Commission
media@asc.ca
ASC Public Inquiries
Toll Free 1-877-355-4488
inquiries@asc.ca