Man gets three-year sentence for fraud: Ontario Securities Commission

TORONTO – The Ontario Court of Justice has sentenced a man to three years in prison for fraud.

The Ontario Securities Commission says Vadim Tsatskin was charged for his role in a company called Global Energy Group Ltd.

The regulator says Global Energy operated an unregistered sales office trading units of a limited partnership called New Gold LLP to members of the public.

OSC staff alleged about US$14.75 million in New Gold securities were sold to investors – mostly in Western Canada – between June 2007 and June 2008.

Tsatskin pled guilty this spring, admitting he fraudulently represented the New Gold securities to constitute ownership in Kentucky oil and gas leases.

The conviction was the first finding of guilt for fraud in a quasi-criminal proceeding brought by the OSC before the Ontario Court of Justice.

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“Today’s jail sentencing makes it clear that the courts take these matters seriously and will impose significant sanctions where an individual has caused harm to investors,” said Tom Atkinson, director of enforcement for the OSC.

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