According to the B.C. Securities Commission and Alberta Securities Commission’s audit of Market Regulation Services, which is dated May 26 and spans operations from March 2002 until August 2004, performance is mostly “satisfactory” in providing market integrity oversight for the TSX-V.

However, the audit notes a dramatic decline in enforcement proceedings during the period, a trend which it notes may have reversed since January, 2005.

“Staff turnover is very high and contributed to a lack of results and must be addressed before it impacts any further on RS results. RS also needs to expedite its development of performance measures,” the report continues. “RS Western Region has a good working relationship with RS Eastern Region and the TSX-V. Some minor changes to RS’s policies and procedures are recommended to ensure that they are up to date and consistent with actual practice.”