The Ontario Securities Commission has published a divisional court decision upholding its ruling in the case of trader, Taylor Shambleau, regarding the RT Capital case.

Shambleau appealed an OSC review of a decision made by the board of the Toronto Stock Exchange, which upheld a decision of a hearing panel of the exchange ordering TSX regulatory staff to disclose to an investigation report relating to disciplinary proceedings brought against him.

The OSC decided that the disclosure already made to Shambleau was sufficient and disclosed all relevant material, and that the actual report itself need not be produced. The OSC accordingly set aside the order of the board of the TSX.

The question before the court in this appeal was whether the decision of the OSC was unreasonable. “In our opinion it is not,” the court said. “The duty of disclosure which applies in disciplinary matters is a high one. The commission recognized this and the standard of disclosure set out in its reasons is entirely consistent with that set out in precedents.”