The Ontario Securities Commission today issued a long list of allegations against Buckingham Securities Corp. several of its executives, and its auditors.

The regulator alleges that between March 1997 and July 2001 Buckingham failed to segregate fully paid or excess margin securities owned by its clients, failed to maintain adequate capital at all times, and failed to keep proper books and records in violation of requirements of Ontario securities law.

OSC staff also alleges that for the 1999 and 2000 fiscal years Buckingham made statements in required reports that were misleading or untrue.

The OSC alleges that the firm’s executives, Lloyd Bruce, David Bromberg and Norman Frydrych authorized, permitted or acquiesced in Buckingham’s violations of the requirements of Ontario securities law.

And, it alleges that the conduct of Buckingham’s auditors, Miller Bernstein & Partners LLP, was contrary to the public interest in that it signed off on the firm’s financials. “Staff alleges that such statements made by Miller Bernstein were in a material respect and at the time and in the light of the circumstances under which they were made misleading or untrue,” it says.

Buckingham was registered under Ontario securities law as a securities dealer until its registration was suspended on July 6, 2001. BDO Dunwoody Limited was appointed receiver and manager of the assets. By the terms of the orders of the commission, Bromberg and Bruce have been prohibited from trading in securities since July 6, 2001.

The OSC says that it will consider a settlement agreement reached by with Bromberg at a hearing on April 20.

The terms of the settlement are confidential until approved by the commission. Bruce, Frydrych and Miller Bernstein are scheduled to appear on May 25.