The Autorité des marchés financiers is charging two men with carrying on business as securities dealers and distributing securities without a prospectus.

The Quebec regulator said it is instituting penal proceedings against Réal Forest and Réal Ouellette before the Court of Québec (Criminal and Penal Division), in the judicial districts of Longueuil and Richelieu. Forest faces eight counts of having contravened the Québec Securities Act, and Ouellette faces 17 counts.

The AMF alleges that Forest helped a company known as 9059-6073 Québec inc. (aka “Logi-Tech”) distribute its securities without having a prospectus approved by the Commission des valeurs mobilières du Québec. He faces four counts of this charge, each of which carries a minimum fine of $5,000, and four counts of carrying on business as a securities dealer without being registered, each carrying a minimum fine of $1,000.

Ouellette faces 17 counts of helping in the illegal distribution by Logi-Tech.