A former B.C. mutual fund dealer is facing fraud charges in a scheme that police say cost investors $10 million.

The Vancouver Integrated Market Enforcement Team (IMET), Victoria police and the FBI have formally charged Ian Thow with 25 counts of fraud over $5,000.

IMET began investigating Thow in the summer of 2005 after complaints were lodged by Berkshire Investment Group.

Thow was a licensed mutual fund dealer who managed the Victoria office of the Berkshire. He is no longer licensed, Wu said.

In December 2007, a Mutual Fund Dealers Association of Canada hearing panel ratified a settlement agreement in which Berkshire admitted it did not act diligently enough when it received two earlier complaints about Thow. That supervisory lapse gave Thow additional time to flog his bogus investment schemes, resulting in millions of dollars of additional losses for his victims. For these transgressions, Berkshire has agreed to pay a $500,00 fine and $50,000 in costs.

As has been well reported, Thow used his ill-gotten gains to finance a life of conspicuous consumption. He bought several jet planes and a waterfront home outside Victoria.