The Alberta Securities Commission (ASC) has sanctioned Candice Anne Graf (aka Candi Hayward), Homerun International Inc. and connected companies (First Base Investments Inc., Homerun Capital Corp., Homerun Equities Inc., Homerun Capital II Corp., Homerun Equities II Inc., 1496044 Alberta Ltd. and 1539149 Alberta Ltd.) for illegally distributing securities the provincial regulator announced on Tuesday.

In addition, Christopher Robert Hayward, Graf’s brother, was sanctioned for authorizing, permitting or acquiescing in the majority of the corporations’ breaches.

An ASC panel ordered that Graf: pay an administrative penalty of $250,000 and investigation and hearing costs of $63,750; be permanently banned from using any Alberta securities laws exemptions; and be subject to a broad array of market-access bans until the later of April 21, 2036 and the date on which her administrative penalty is paid in full to the ASC.

The panel ordered that Hayward: pay an administrative penalty of $75,000 and investigation and hearing costs of $21,250; be banned from using any Alberta securities laws exemptions until the later of April 21, 2036 and the date on which his administrative penalty is paid in full to the ASC; and be subject to a broad array of market-access bans until the later of April 21, 2026 and the date on which his administrative penalty is paid in full to the ASC.

In addition, the ASC panel ordered that all trading in or purchasing of Homerun International’s and connected companies’ securities or derivatives permanently cease; and Homerun International and the connected companies be subject to a broad array of permanent market-access bans.

According to the panel’s decision, Graf sold investment products largely using the Homerun name.

In addition, the ASC panel noted that Graf was the guiding mind behind the corporations involved. The panel also stated: “It was not clear that she recognized herself as a perpetrator of wrongdoing, and indeed the primary perpetrator. We conclude that Graf neither accepted responsibility for her proved misconduct, nor seemed truly to appreciate how serious it was.”

In December 2015, the ASC panel had found that Graf, Homerun International and the connected companies illegally traded or distributed securities, and that Graf and Homerun International made prohibited representations to investors. The ASC panel also found that Graf authorized, permitted or acquiesced in these breaches by the corporations, and that Hayward authorized, permitted or acquiesced in the majority of the corporations’ breaches.