The Commission des valeurs mobilières du Québec has instituted penal proceedings against Constantinos Caros before the Court of Québec, criminal and penal division (District of Montréal).

Caros is facing 13 counts for having violated the Québec Securities Act. He is charged with nine counts of carrying on business as a dealer without being duly registered (nine counts of $1,000 each); three counts of assisting Biagen Technologies Inc. and Manavest Consultants Inc. in distributing their shares without an approved prospectus (three counts of $5,000 each); and, one count of giving an undertaking relating to the future value or price of the shares of Biagen Technologies Inc. (one count of $1000).

If he is found guilty of all counts, he will be ordered to pay a minimum fine of $25,000.