The Ontario Securities Commission has published the final guidelines that it will follow in cases where it agrees to an enforcement settlement before it issues a notice of hearing.

The proposed guidelines, which were initially published on March 21 for a 60 day comment period, apply to the approval by the executive director of settlements of enforcement cases prior to the issue of a notice of hearing.

“Executive director’s settlements provide an opportunity for early resolution of matters before the formal commencement of proceedings. These guidelines are not rules and are not intended to affect the legal rights or obligations of any person,” it notes.

The commission reports that it received two comment letters through the formal comment process, and it received some comments as a result of its informal consultations. “All commenters were supportive of the proposed guidelines and offered very constructive comments and suggestions,” it notes.

As a result of the comments received, the commission has made some changes to the proposed guidelines in order to provide clarification. Those changes are not material, it says, adding that the final guidelines are effective immediately.

“Some of the commenters suggested that the guidelines do not go far enough in certain aspects,” the OSC says. However, at this time, the commission is not prepared to extend its guidance beyond that set out in the guidelines. It does allow that some of the matters raised by the commenters may be considered at a later time, as part of an ongoing review of the commission’s overall approach to the settlement process.

IE