(December 12 – 12:30 ET) – The Commission des valeurs mobilières du Québec has imposed $200,000 in penalties and costs on Maxima Capital Inc.

It has also suspended the registration of three of its officers, Gilles Bertrand, Pierre St-Aubin and Manon Tessier, and prohibited them from acting as officers.

The fine and suspensions are the result of an investigation of irregularities in the practices of Maxima. As a result of the settlement agreement with the CVMQ, Maxima will pay a total of $200,000, consisting of a penalty of $150,000 and $50,000 in investigation costs. The settlement also places temporary conditions on the registration of Maxima as unrestricted practice dealer.

As well, Within three months, control and the majority of voting shares of Maxima must be held by one or more shareholders other Bertrand, St-Aubin and Tessier, who must reduce their overall holdings of voting shares of Maxima to 20% within six months of the agreement.

Bertrand, company president and CEO has his registration suspended for 12 months. Bertrand resigns as responsible officer and may no longer hold this function for a securities dealer or adviser. He also resigns as an officer and may not hold this position or be an employee or contract employee of a securities dealer or adviser for a period of 12 months.

St-Aubin, vice president, corporate finance and group savings representative, has his registration suspended for five years. He also resigns as an officer of Maxima and may not be an officer, employee or contract employee for securities dealer or adviser for a period of five years.

Tessier, vice president and group savings representative, is suspended for 12 months. She resigns as an officer of Maxima and responsible officer and may not work as such for a securities dealer or adviser for a period of three years.

Maxima has been registered with the CVMQ as unrestricted practice dealer since February 28, 1994. A number of irregularities in its practices and in the nature of the company’s activities were identified by the commission. These included: the creation of a system of public offerings for privately held corporations; filing misleading or false information with the CVMQ, and failure to respect client investment objectives.
-IE Staff