On Tuesday, Quebec advisor Jean Tremblay pleaded guilty to 200 counts for helping companies distribute their shares to several investors without having prepared a prospectus. The Quebec Securities Commision ordered Tremblay to
pay a fine of $1 millio or $5,000 for each count.

On Aug. 17, 2000, QSC investigators conducted a search at the offices of CFM Consultant Financement Multiple Inc. and Financière Telco Inc. of which Tremblay was the president.

On Sept. 14, 2000, the QSC imposed a cease trade order on CFM, Telco and various companies as well as on their senior executives, employees, representatives and agents. In that decision, the QSC prohibited the parties involved from carrying out any activities involving the distribution of securities and from acting as a dealer or the representative of a dealer. Furthermore, the QSC prohibited Telco and its senior executives, employees, representatives and agents from granting loans to CFM’s clients.

On Aug. 21, 2002, the QSC instituted penal proceedings against Tremblay before the Court of Quebec, Criminal and Penal Division, which proceedings led to this order.