Cormark Securities, a Toronto mid-market investment bank, facilitated an allegedly “illegal and abusive short-selling scheme” where it misrepresented to one client, Canopy Growth Corp. the purpose of a series of transactions to allow another client to net $1.27-million, Ontario’s securities regulator has alleged.
In a statement, Cormark’s chief operating officer said the company “vehemently denies the allegations against it” and that all key facts about the transactions were disclosed to Canopy.
The Ontario Securities Commission’s enforcement proceeding against Cormark is one of the first regulatory actions, if not the first, to be brought in Canada alleging an investment dealer engaged in this kind of short selling.
The full article is available at https://www.theglobeandmail.com/business/article-cormark-securities-short-selling-osc/