(February 9 – 15:45 ET) – At a hearing today, an Ontario Securities Commission panel approved a settlement agreement entered into between enforcement staff and Noram Capital Management, Inc. and Noram’s CEO and president, Andrew Willman. Both Noram and Willman admitted that they contravened Ontario securities law, and acted in a manner contrary to the public interest.

In the settlement agreement, they admitted to failng to deal fairly, honestly and in good faith with clients of Noram, over more than a seven year period.

Among the failings: making unsuitable investments; failing to adequately disclose the risks associated with certain investments, including leveraged investments; making misleading statements to clients regarding investments; making misleading and inaccurate representations in advertising and promotional materials; engaging in personal trading and principal trading and self-dealing.

The Commission held that Andrew Willman showed a complete lack of concern for his clients and the marketplace, and that his conduct was as serious as any that has recently been before the Commission.

The Commission held that enforcement staff’s characterization of the Respondents’ conduct as “egregious” was a “mild understatement”. The Commission stated that on the basis of the admitted facts the panel was prepared to make a finding that Willman was a “scoundrel”.

The Commission ordered the following sanctions:

  • Willman and Noram’s registration be terminated permanently;
  • Willman cease trading in securities permanently, including for his own personal account;
  • Willman is prohibited from becoming or acting as a director or officer of any issuer permanently;
  • Willman and Noram are reprimanded; and
  • Willman and Noram pay costs in the amount of $82,500 to the Commission.

    -IE Staff