As a result of an application initiated by the Ontario Securities Commission (OSC), the Superior Court of Justice Wednesday continued an order freezing all funds held in a bank account in the name of Nest Acquisitions and Mergers until June 19.

The order by the Superior Court of Justice continues the original OSC direction made on April 8.

In an affidavit filed in Superior Court, OSC staff allege that representatives of Nest contacted residents of the United Kingdom by telephone with offers to purchase, often at a significant premium, certain securities held by the UK residents. It is further alleged that, in order for the transactions to be completed, representatives of Nest would advise the UK resident that an “advance fee” had to be paid to the Nest bank account in Ontario before the transaction could proceed.

OSC staff also allege that the residents of the UK who provided these “advance fees” to Nest did not subsequently receive what they had been promised by the representatives of Nest.

The investigation into Nest is ongoing, the OSC says.

IE