MONTRÉAL, July 31,
2024 /CNW/ - On April 29,
2024, the Financial Markets Administrative Tribunal (the
"Tribunal") issued freeze orders and bans against Vincent Allard and Pyrole Capital inc. (the
"Respondents") further to a hearing held in their absence.
![Autorité des marchés financiers | AMF (CNW Group/Autorité des Marchés financiers) Autorité des marchés financiers | AMF (CNW Group/Autorité des Marchés financiers)](https://mma.prnewswire.com/media/2472963/Autorit__des_March_s_financiers_Conservatory_measures_against_Vi.jpg)
According to an ongoing AMF investigation, the Respondents
committed market fraud or manipulated the price of the
BALD token, a cryptoasset created by Vincent Allard. The Tribunal found that
there was evidence that BALD was deployed on a
decentralized exchange for the purpose of manipulating
the token's value and reaping large profits and that the
Respondents had made the equivalent of more than CAD $7 million from these illegal activities over a
two-day period. In so doing, they carried on business as a
securities dealer and adviser without being registered with the AMF
and distributed investment contracts to the public without
preparing a prospectus subject to a receipt issued by the AMF or
benefitting from an exemption from this requirement.
The Tribunal found that the AMF had presented compelling
evidence that the Respondents had committed the
alleged apparent breaches and said that, in its
opinion, without the AMF's intervention, the amounts harvested from
investors would likely be dissipated by the Respondents.
Consequently, the Tribunal prohibited the Respondents from
engaging in any activity for the purpose of directly or indirectly
trading in any security, including BALD or any other token in the
nature of a form of an investment. It also prohibited the
Respondent from acting as dealers or investment fund managers.
Lastly, the Tribunal issued various freeze orders on the
Respondents' bank and cryptoasset accounts.
Notices of contestation were filed by the Respondents, but to
date no hearing has been set.
Appeal to consumers
If you have information that could help the AMF in its ongoing
investigation in this matter, please contact the AMF at
cyberenquetes@lautorite.qc.ca.
About the Autorité des marchés financiers
In its role
as regulator, the Autorité des marchés financiers acts to maintain
a financial sector that is dynamic, operates with integrity and
warrants public confidence. It regulates, in whole or in part,
activities in the following sectors: insurance, securities and
derivatives, distribution of financial products and services,
deposit institutions, mortgage brokerage and credit assessment.
FURTHER INFORMATION
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Information Centre:
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lautorite.qc.ca
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Sylvain Théberge:
514-940-2176
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1-877-525-0337
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Autorité des
marchés financiers
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sylvain.theberge@lautorite.qc.ca
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@lautorite
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SOURCE Autorité des Marchés financiers