CALGARY,
AB, Aug. 15, 2024 /CNW/ - The Alberta
Securities Commission (ASC) announces that Ronald James Aitkens was sentenced to four years
in jail by the Honourable Justice L.W. Robertson
of the Alberta Court of Justice,
on August 15, 2024.
Following an investigation by the ASC and a subsequent
trial in the Alberta Court of
Justice, Aitkens was convicted in July
2020 on one count each of fraud and making
false or misleading statements in an offering memorandum, contrary
to the Securities Act (Alberta). The convictions stem from the
distribution and sale of securities, through the use of the
offering memorandum exemption, in a real estate investment
opportunity known as Legacy Communities Inc. Aitkens raised over
$35 million through
three offering memorandums between 2005 and 2007 with 1,475
investors. He diverted at least $10.7 million to other projects
through his personal companies.
After being found guilty, Aitkens failed to appear for
sentencing before Justice Robertson
on November 6, 2023, and a Canada-wide warrant was issued for his arrest.
On August 8, 2024, Aitkens was arrested in
Montana, U.S. and returned to
Canada.
Justice Robertson ordered a total
sentence of four years in jail, apportioned as 39 months on the
fraud conviction and nine months on the misleading
statements conviction, to be served consecutively. Orders made
by Justice Robertson in November 2023 remain in effect, namely, that
Aitkens immediately resign all positions that he holds as a
director or officer of any issuer and is permanently prohibited
from:
- Acting as a director or officer of an issuer;
- Trading in or purchasing securities or derivatives;
- Acting in a management or consultative capacity in connection
with activities in the securities market; and
- Using any exemption contained in Alberta securities laws.
"This sentence clearly demonstrates that those who defraud
investors will face consequences for their actions no matter where
they try to hide," said Cynthia
Campbell, Director of Enforcement at the ASC. "The ASC is
committed to securing appropriate sentences of imprisonment for
such offenders and ensuring that fleeing the country will not
shield them from accountability."
A copy of the Reasons for Decision and Sentencing
Judgment are available on the ASC website
at asc.ca.
The ASC is the regulatory agency responsible for administering
the province's securities laws. It is entrusted with fostering a
fair and efficient capital market in Alberta and with protecting investors. As a
member of the Canadian Securities Administrators, the ASC works to
improve, coordinate and harmonize the regulation of Canada's capital markets.
SOURCE Alberta Securities Commission