The U.S. Securities and Exchange Commission (SEC) reports that it has named a Canadian woman a relief defendant in a pending civil case involving the alleged “hijacking” of defunct public companies.
The SEC said Friday that it has filed an amended complaint naming Alena Dubinsky as a relief defendant in its pending civil injunctive action that concerns the alleged hijacking of defunct or inactive publicly-traded companies in order to make unregistered securities sales. Late last month, the SEC announced that it had secured US$12.9 million in judgments against three Ontario men accused of hijacking the companies.
SEC orders Ontario trio to pay US$12.9 million
The commission said Friday that its amended complaint alleges that Dubinsky “opened bank and brokerage accounts in Toronto at the behest of certain defendants”, and that unregistered sales of securities and the deposit of at least US$1 million in illicit proceeds was made through those accounts. The allegations have not been proven.
The commission is seeking disgorgement, it notes.
Earlier this year, the three men facing the SEC judgement also entered settlement agreements with the Ontario Securities Commission (OSC) over similar allegations. Proceedings are continuing against others in the case, but the allegations have not been proven.