Two Montreal-based CIBC investment advisers have been suspended after Ontario regulators accused them and a Toronto lawyer of insider trading on several key takeover bids.
Late Thursday, the Ontario Securities Commission laid out the details of an elaborate insider-trading scheme involving Bay Street corporate lawyer Mitchell Finkelstein and CIBC retail investment advisers Paul Azeff and Korin Bobrow over a four-year period from November 2004 to May 2007.
The OSC alleges that, through his practice at Davies Ward Phillips &Vineberg LLP, Finkelstein shared sensitive acquisition information with Azeff ahead of at least four takeover deals, including Kohlberg Kravis Roberts & Co’s 2004 buyout of Masonite International Corp. and Barrick Gold Corp.’s 2005 takeover of Placer Dome Inc. CIBC Traders Charged
House Positions for C:BNK from 20101117 to 20101117 |
House | Bought | $Val | Ave | Sold | $Val | Ave | Net | $Net |
9 BMO Nesbitt | 155,703 | 1,097,634 | 7.05 | 16,122 | 112,763 | 6.994 | 139,581 | -984,871 |
121 Jennings | 135,400 | 956,078 | 7.061 | 0 | 135,400 | -956,078 | ||
82 Weisel | 301,800 | 2,129,319 | 7.055 | 274,700 | 1,938,503 | 7.057 | 27,100 | -190,816 |
14 ITG | 27,273 | 190,504 | 6.985 | 600 | 4,224 | 7.04 | 26,673 | -186,280 |
79 CIBC | 116,000 | 814,482 | 7.021 | 95,000 | 665,842 | 7.009 | 21,000 | -148,640 |
74 GMP | 15,500 | 108,765 | 7.017 | 2,086 | 14,643 | 7.02 | 13,414 | -94,122 |
33 Canaccord | 54,400 | 382,413 | 7.03 | 44,200 | 311,189 | 7.04 | 10,200 | -71,224 |
56 Edward Jones | 6,300 | 44,541 | 7.07 | 0 | 6,300 | -44,541 | ||
52 NCP | 25,703 | 179,973 | 7.002 | 20,811 | 146,815 | 7.055 | 4,892 | -33,158 |
85 Scotia | 13,100 | 91,789 | 7.007 | 9,266 | 65,232 | 7.04 | 3,834 | -26,557 |
19 Desjardins | 4,150 | 29,243 | 7.047 | 500 | 3,520 | 7.04 | 3,650 | -25,723 |
89 Raymond James | 3,600 | 25,308 | 7.03 | 700 | 4,893 | 6.99 | 2,900 | -20,415 |
53 Morgan Stanley | 2,346 | 16,400 | 6.991 | 81 | 566 | 6.988 | 2,265 | -15,834 |
101 Newedge | 2,300 | 16,251 | 7.066 | 900 | 6,282 | 6.98 | 1,400 | -9,969 |
12 Wellington | 97,800 | 686,122 | 7.016 | 96,900 | 679,125 | 7.009 | 900 | -6,997 |
65 Goldman | 570 | 3,978 | 6.979 | 0 | 570 | -3,978 | ||
15 UBS | 2,724 | 19,091 | 7.008 | 2,225 | 15,639 | 7.029 | 499 | -3,452 |
46 Macquarie | 0 | 25 | 176 | 7.04 | -25 | 176 | ||
72 Credit Suisse | 0 | 200 | 1,408 | 7.04 | -200 | 1,408 | ||
81 HSBC | 500 | 3,530 | 7.06 | 1,000 | 7,060 | 7.06 | -500 | 3,530 |
61 Cantor Fitz | 0 | 1,200 | 8,340 | 6.95 | -1,200 | 8,340 | ||
83 Mackie | 0 | 1,800 | 12,582 | 6.99 | -1,800 | 12,582 | ||
124 Questrade | 850 | 5,973 | 7.027 | 3,090 | 21,844 | 7.069 | -2,240 | 15,871 |
5 Penson | 27,100 | 190,089 | 7.014 | 29,400 | 206,071 | 7.009 | -2,300 | 15,982 |
80 National Bank | 21,400 | 150,476 | 7.032 | 28,700 | 201,697 | 7.028 | -7,300 | 51,221 |
95 Wolverton | 0 | 7,500 | 52,350 | 6.98 | -7,500 | 52,350 | ||
99 Jitney | 15,800 | 110,811 | 7.013 | 27,000 | 189,678 | 7.025 | -11,200 | 78,867 |
13 Instinet | 0 | 12,300 | 86,309 | 7.017 | -12,300 | 86,309 | ||
2 RBC | 32,345 | 226,610 | 7.006 | 89,220 | 624,843 | 7.003 | -56,875 | 398,233 |
7 TD Sec | 50,950 | 356,954 | 7.006 | 115,988 | 816,802 | 7.042 | -65,038 | 459,848 |
39 Merrill Lynch | 3,000 | 21,161 | 7.054 | 79,500 | 559,044 | 7.032 | -76,500 | 537,883 |
1 Anonymous | 193,600 | 1,360,007 | 7.025 | 349,200 | 2,460,062 | 7.045 | -155,600 | 1,100,055 |
TOTAL | 1,310,214 | 9,217,502 | 7.035 | 1,310,214 | 9,217,502 | 7.035 | 0 | 0 |