Canada’s securities regulators have asked CDS INC. to suspend operation of the new insider reporting system due to technical difficulties.

The Canadian Securities Administrators announced that the System for Electronic Disclosure by Insiders is unavailable effective immediately.

SEDI has been accepting issuer registrations since Oct, 29, 2001. Insider reporting began on Jan. 21, 2002. Since that time, users have been experiencing unacceptable delays when using the system. Both the CSA and CDS INC. expressed their regret about the inconvenience for system users.

Securities regulators have determined that the best long-term solution is to take the system off-line for diagnostic and repair work until the problem can be completely remedied.

The CSA and CDS INC., SEDI’s developer and operator, will make every effort to remedy the situation as quickly as possible. It is not known at this time when the system will be back online. The CSA will continue to update issuers and insiders on this matter.

Insiders are still required to comply with their insider reporting obligations. Insiders can fulfil their reporting requirements by using Form 55-102F6, which can be obtained on the Web site of the regulator in each jurisdiction, or by contacting the regulator directly. Insiders can file the form by fax, by mail or in person.

The CSA will issue a notice explaining interim reporting requirements shortly.