The Ontario Securities Commission has reached a with Benjamin Poirier, relating to his involvement with the illegal distribution of units of Dual Capital Limited Partnership.

Under the terms of the approved settlement, Poirier provided a written undertaking to the OSC that he will never apply for registration in any capacity under Ontario securities law.

Poirier is not permitted to purchase or sell securities for a period of 10 years, with the exception that he may purchase or sell securities which are beneficially owned by him in his personal account in his name, effective one year from the date of the commission’s order.

Poirier was registered as a salesperson from January 1991 to May 1999, but has not been registered in any capacity since May 1999. Between October 1994 and December 1996, he sold approximately $325,000 worth of units in Dual Capital Limited Partnership to 10 clients. Poirier’s spouse also made a $15,000 investment in Dual Capital Limited Partnership. Poirier earned commissions of $4,449 in respect of the sale of the units.

By selling the Dual Capital Limited Partnership units to his clients, Poirier participated in an illegal distribution of securities. Among other things, Poirier failed to conduct the appropriate due diligence respecting the nature and quality of the investment products, failed to deal fairly and in the best interests of his clients, and failed to assess the suitability of the units to the needs of his clients.

Poirier’s clients, who were elderly, unsophisticated and lived on fixed incomes, suffered detrimental financial and emotional losses arising from his recommendation to purchase the units.

Commissioner Robert Shirriff, in his oral decision approving the settlement, commented that the rules and regulations in this province are to create fair and efficient markets and to protect investors from improper practices, and that the panel was mindful of the suffering caused by Poirier.

Shirriff reprimanded Poirier, noting that Poirier failed the system, his clients and himself, and that his conduct was reprehensible.