National News

Security commission says B.C. man committed fraud

By The Canadian Press

VANCOUVER - The British Columbia Securities Commission has found a Vancouver Island man committed a $65-million fraud on almost 500 clients, many of them senior citizens.

A commission panel found between June 2007 and December 2010 David Michael Michaels illegally advised clients to sell their stocks, bonds and mutual funds to purchase high-risk exempt market securities.

The panel heard Michaels paid $2,000 to conduct weekly infomercials, entitled Creating Wealth with David Michaels, on CFAX 1070 radio in Victoria, drawing about 20,000 listeners a week.

The commission says Michaels — who claimed repeatedly on his shows he loved helping seniors make money — actually preyed on his clients by frightening them into leaving safe capital markets for far riskier investments.

The panel heard Michaels was paid $5.8 million in fees and commissions for his sales of exempt market securities.

The panel will hear submissions on sanctions at a later time.

We encourage an open exchange of ideas on this story's topic, but we ask you to follow our guidelines for respecting community standards. Personal attacks, inappropriate language, and off-topic comments may be removed, and comment privileges revoked, per our Terms of Use. Please see our FAQ if you have questions or concerns about using Facebook to comment.

You might like ...

Surrey enforcer killed on the weekend
 
One last holdup on B.C. railway tracks
 
Whooping cough outbreak hits Nelson
Council candidate: Susan Spaeti running in District of Kent
 
The Week — Oct. 13
 
Helijet eyes Nanaimo skies
Election 2014: Grant Ward seeking fifth term on Langley Township council
 
Burnaby to look into problem cyclists
 
Mayoralty candidate: Raymond Cauchi

Community Events, October 2014

Add an Event

Read the latest eEdition

Browse the print edition page by page, including stories and ads.

Oct 21 edition online now. Browse the archives.