The Ontario Securities Commission (OSC) has permanently banned and ordered a penalty of more than $300,000 against a former salesman who had been convicted of securities fraud.
The OSC announced that it settled with Howard Rash, who agreed to the penalty of a permanent ban and an administrative penalty of $313,461 (the amount he obtained through his violations of securities law), after he admitted to securities fraud in 2012.
Rash pled guilty in the Ontario Court of Justice to one count of fraud and one count of contravening Ontario securities law by trading in securities when he was prohibited from doing so by the commission. Rash admitted that, between September 2007 and June 2008, he fraudulently sold units in partnerships of “New Gold LLP” to the public. Those sales were made by Rash over the telephone from the offices of a company called Global Energy Group Ltd. in Concord, Ontario.
Rash’s guilty plea was accepted by the court and he was convicted in 2013.
Following Rash’s convictions, Justice Gorewich of the Ontario Court of Justice sentenced Rash to nine months in jail and two years’ probation.