Ontario is implementing measures to provide greater protection to investors and consumers, Finance Minister Janet Ecker said today following the passage of Bill 198.
The measures, which include tougher penalties to ensure compliance with Ontario’s securities laws, received final approval in the legislature today. They include:
- increasing the maximum court fines for general securities offences to $5 million from the previous $1 million;
- increasing the maximum prison terms for general securities offences to five years less a day from the previous two years;
- giving the Ontario Securities Commission the authority to impose fines of up to $1 million for securities laws violations and order that offenders give up the amounts they have gained from these violations;
- clarifying offences such as fraud and market manipulation, and for making misleading or untrue statements; and
- providing broader rights for investors to sue if companies make misleading or untrue statements or fail to give full and timely information.
The measures are part of the Ontario government’s comprehensive plan to protect consumers. The government is also moving forward with measures to establish a more modern, effective and transparent licensing regime for public accounting in Ontario, and will be exploring changes to the Business Corporations Act that are consistent with the Securities Act reforms.
“It is important that we set and enforce high standards to protect Ontario families and the integrity of our capital markets,” Ecker said. “These measures will ensure that Ontario’s regulatory system is the toughest in Canada.”