This just came across our desk.   Mr. Romolo Di Fonzo  has been an employee with the BCSC since 1998; most recently as Lead Investigator in the Enforcement Division.

Romolo    Romolo Di Fonzo

Mountain Star Gold – Press Release

We can say we know nothing about this matter – but nonetheless it just goes to show that there are others that are having issues with this so-called regulator.

Why are so many people coming forward with allegations of wrongdoing by BCSC Staff??   This is becoming a daily occurrence and AGAIN it is time for these people to become accountable for some very questionable decisions being made – and it appears to be coming from the top.


Mr. Martinsen,

As I stated in the original post in this blog, I fully understand that some people are going to have negative opinions towards me and that is fine – I respect their opinions and can/and will live with that.

Now, I have dealt with your outright silly phone calls (you know the one where you wished I was raped in prison), I have dealt with your emails (see below) where you hope I am broke and get visited by Bubu, you have shown up at the Falls Golf course unannounced and were very rude to their staff when they told you I did not work there, and we have recently received posts to this blog where you now call me a loser and issue a VERY slanderous opinion on the matter we faced with the BCSC.

When I look back at the history of negativity you have exhibited towards me I cannot help but determine it started after a series of phone calls in 2011 and 2012.   I remember having very distinct conversations with you regarding Deercrest and you telling me you came from a construction back ground.   You told me (in lieu of getting your money back) you would take a unfinished Deercrest unit, finish it, and then sell it.   I explained to you many things would prevent this from happening including New Home Warranty issues and the fact that Primex Investments had a blanket mortgage on all of the units and would not discharge a small portion of their loan.

Also, and more importantly, I told you I was not able to do that because I could not show “favoritism” to one investor over another.    You didn’t like my answers and by the summer of 2013 your inappropriate phone calls began to my cellular phone line.

In March 2015, you and I had what I thought was a very candid conversation – I explained to you several things including the key things that were uncovered during the hearing and other current, legal ways I was looking at having the former investors participate in the Deercrest project.    I ended the phone call by asking you if you had any questions and that I would be happy to answer them for you.   You stated you just wanted you money back – and that was it.  I told you I understood that and that I wanted my money lost in the project back as well.

A short while later, I followed our phone call up with an email in an attempt to recap our conversation and to thank you for taking my call.    I also (explained in writing) the frustration I incurred with the BCSC trying to get the Settlement Agreement in their hands.   I sent you this email because I thought it was important to recapped our conversation and to have it for my records.   And for you to try to understand there was definitely two sides to this story.

A few weeks later (and for no apparent reason) you sent me a reply to my email where you hoped I was broke, that I lost my house and that you wanted me to say hello to Bubu…which again I believe  relates to some sort of a weird sexual reference you seem to be obsessed with for whatever reason.  If you deleted the email or can’t remember what you said, please find it here:

Martinsen email – June 18, 2015

Brian, I know you know how to use a phone, a computer, and certainly know how to speak.   Instead of directing all your energy towards something that will literally take you no where  – why don’t you call the BCSC and ask them why they did not even look at the Settlement Offer I presented to them in 2013.   And when they blow you off and refuse to answer your questions – call back again and get someone higher up to answer your questions.    Your questions are important and their answers are part of the reason you are not currently receiving funds out of the very successful Deercrest property.  The 12 units are fully completed and occupied as of approximately March of 2016.   The owners of the property (Kerkhoff and Primex) are now going to continue building the balance of the units.

The number of the BCSC  is 604-899-6500 or you can email them at inquiries@bcsc.bc.ca .

You as an investor in the Province of British Columbia are entitled to answers from the people down at the BCSC- they are the ones that were to protect you and earn your confidence during all times you were part of the FCC and/or DCF investments.

I encourage you to ask them:

  1.   Did the Respondents (RW, WKL, FCC, and DCF) send a Settlement Proposal to the BCSC on November 7, 2013?
  2.   Did the Settlement Proposal allow for participation (as shareholders) for all investors in FCC and DCF?
  3. Why did it take Staff Litigators 7 weeks to respond to such a time-sensitive email?
  4. If the BCSC’s Mission if to “protect the public interest by fostering  a securities market that is fair and warrants public confidence  is to look”  – then why would you not a least explore the opportunity the Respondents placed before you?
  5. Why did you Staff Litigators not even show the ONLY person that could have accepted the Settlement Proposal (the Executive Director)?

Brian, I understand your frustration and certainly understand that losing hard earned money is something that is not good for anyone.   I don’t blame you for being angry – from what I can see you had frequent contact with Liz Chan (and others at the Commission) and I can only imagine what you were told.

You were told to read the press release where the BCSC hides behind words like “alleged” and “unproven” yet convicts people in the public domain.   They filled your head with all the allegations and immediately afterwards got you to fill out an Investor Impact Statement.     You became enraged and decided (before I got a day in court) that I was guilty.

You were told the Respondents did not advance the majority of the funds raised to the Developer but you were NOT told that Staff relied on a very simple grade 2 math calculation that was not in context with what the Offering Memorandum(s) dictated.   It was only after the hearing that Staff realized they did not have enough information to prove their case – they then manipulated a very significant portion of the OM to suite their theory – again in an attempt to make me look like I absconded with $5.45 million dollars in investor funds.   THIS IS NOT TRUE!

I am going to continue to tell the truth – it is people like you that motivates me to bring the truth to the forefront.   And just maybe one day you will realize focusing all your anger towards me and calling me immature names will NEVER get your money back.   And quite frankly is a huge waste of your energy!

For the record, I wish you the best and wish things were different with respect to your investment in my company.


P.S.      And Brian, yes I did lose my house and many of the other material things I had gathered over the years – and yes, I am currently financially ruined.   I have lost a very key relationship with someone I would literally die for and a friendship with a person I truly admired.   But, the actions of the BCSC and their pathetic attempt to brand me something I am not will NEVER define me as I will not let it – I just don’t keep score that way.








On May 11, 2016, we sent a letter to BCSC Chair BRENDA LEONG and requested she provide (to us) any correspondence between her Staff Litigators (C. Paige Leggat and Olubode Fagbamiye) and the Executive Director ( Paul Bourque ) regarding the Settlement Offer we were trying to bring forward that would possibly have brought funds back to the former investors in FCC and DCF.

As you see in this letter FOI Request #1617-0005 – Reply from BCSC – June 16, 2016.pub , Ms. Leong indicates there are no records matching my request.   We don’t even want to begin to understand why there would be NO correspondence between lawyers/clients when millions of dollars could have been at stake for the investors – how is this even possible??

Not having internal correspondence between relevant parties (considering what was at stake for the former investors) reeks of unprofessionalism by Staff and certainly does not give any confidence they truly had the best interest of the investors during all relevant times.  

That being said, Leong is either lying or (for whatever reason) there truly are NO records of correspondence between her star lawyers and their higher ups.   Either way, this translates into a huge problem for the BCSC.    Here’s why….

Assuming she is not lying, as per the Code of Ethic’s on the  Law Society of British Columbia’s website , a lawyer must present ANY settlement offer it is presented to their client to avoid hearing.  Staff DID NOT do this as they have admitted this in letters to the Respondents.   In a file of this magnitude, and with the numerous attempts by us to settle – there is not one internal document related to the settlement offer that was presented?   We truly find this hard to believe but if true – these are the people that are “protecting the capital markets in BC”???    Time for a WAKE UP CALL BRITISH COLUMBIA!!

And if she is lying then this becomes a bigger problem as she has been appointed to that position by elected government officials – more than likely Finance Minister Michael De jong or Premier Christy Clark.

In the first scenario above, we have the facts:

  • The Respondents submitted a Settlement Offer to the Commission on November 7, 2013 – Staff did not respond until December 30, 2013.
  • When  Staff did reply, they stated they had NOT taken the Settlement Offer to the Executive Director and would only do so IF we plead guilty to ALL allegations AND paid approximately $5.8 million in fines and disgorgement.
  • As of June 16, 2016, we now have it in writing that there in NO communications whatsoever between Staff and the Executive Director with respect to any discussion regarding the Settlement Offer.

As we were preparing this latest blog post – something remarkable just became VERY apparent….what is happening down at the BCSC???

Paige Leggat  (Source: mypersonaltrainervancouver.com)

C.Paige Leggat – Staff Litigator                                                                              RESIGNED OR TERMINATED IN 2014

teresa-mitchell-banks    (Source: mingpaocanada.com)

Teresa Mitchell-Banks  – Director of Enforcement                                          RESIGNED OR TERMINATED IN 2015

paul-bourque         (Source: cbc.ca)

Paul C. Bourque –  Executive Director                                                                  RESIGNED IN 2016

These are the 3 major parties that would have been responsible for negotiating, accepting or denying the settlement agreement WITH the investor in mind.



604-899-5600 or email them at: inquiries@bcsc.bc.ca 




Another hard hitting investigative report  on the investment industry in Canada.  These are the big banks and “professionals” that Canadians have placed a TRILLION dollars.    Why will no one in charge talk to the reporters?

What is most concerning about this video is the last 20 seconds of the video where the reporter indicates that NONE of the so-called REGULATORS “that oversee this industry would talk on camera…”    

In that the reporter was standing a street corner in Vancouver, one would think they would have contacted the BCSC.    We are in the process of verifying this but in the meantime – let’s ponder WHY a government office that is responsible for protecting investors in BC would not openly discuss the topic with the press.    Would they not want to make things better in this industry?   To adhere to their mandate posted on their website?  Isn’t this their fricking job?

Something is not right with our regulators – and it is time to start finding out what is going on!  We, as Canadians, need to start making these people accountable for their actions – or possibly in the case of this advisor fiasco – their LACK of actions!


Alberta Securities Commission
Suite 600, 250–5 Street SW
Calgary Alberta T2P 0R4

Tel: (403) 297-6454
Toll Free: 1-877-355-0585
Fax: (403) 297-6156
Web site:  www.albertasecurities.com
Inquiries:  Inquiries@asc.ca

British Columbia Securities Commission
P.O. Box 10142, Pacific Centre
701 West Georgia Street
Vancouver, BC   V7Y 1L2

Tel: (604) 899-6500
Toll Free: 1-800-373-6393
Fax: (604) 899-6506
Web site:  www.bcsc.bc.ca
Inquiries:  inquiries@bcsc.bc.ca


The Manitoba Securities Commission
500 – 400 St. Mary Avenue
Winnipeg, MB   R3C 4K5

Tel: (204) 945-2548
Fax: (204) 945-0330
Web site:  www.mbsecurities.ca
Inquiries:  securities@gov.mb.ca


Financial and Consumer Services Commission
85 Charlotte Street, Suite 300
Saint John, NB   E2L 2J2

Tel: (506) 658-3060
Fax: (506) 658-3059
Web site:  http://www.fcnb.ca
Inquiries:  info@fcnb.ca


Office of the Superintendent of Securities,
Service Newfoundland & Labrador
2nd Floor, West Block
Confederation Building
P.O. Box 8700
St. John’s, NL   A1B 4J6

Tel: (709) 729-4189
Fax: (709) 729-6187
Web site:  http://www.servicenl.gov.nl.ca/securities/index.html 


Office of the Superintendent of Securities
Department of Justice
Government of Northwest Territories
1st Floor Stuart M. Hodgson Building
5009 – 49 th Street
P.O. Box 1320
Yellowknife, NT   X1A 2L9

Tel: (867) 767-9305
Fax: (867) 873-0243
Web site:  https://www.justice.gov.nt.ca/en/divisions/legal-registries-division/securities-office/


Nova Scotia Securities Commission
Suite 400, 5251 Duke Street
Halifax (Nova Scotia) B3J 1P3

Tel: (902) 424-7768
Fax: (902) 424-4625
Web site:  http://nssc.novascotia.ca/ 


Nunavut Securities Office
1st Floor, Brown Building
P.O. Box 1000 – Station 570
Iqaluit, NU   X0A 0H0

Tel: (867) 975-6590
Fax: (867) 975-6594
Web site:  http://nunavutlegalregistries.ca/sr_index_en.shtml


Ontario Securities Commission
20 Queen Street West
22nd Floor
Toronto, ON   M5H 3S8

Tel: (416) 593-8314
Toll Free: 1-877-785-1555
Fax: (416) 593-8122
Web site:  www.osc.gov.on.ca
Inquiries:  Inquiries@osc.gov.on.ca


The Office of the Superintendent Securities
Consumer, Corporate and Insurance Services Division
Office of the Attorney General
95 Rochford Street, P.O. Box 2000
Charlottetown, PE   C1A 7N8

Tel: (902) 368-4569
Fax: (902) 368-5283
Web site:  www.gov.pe.ca/securities


Autorité des marchés financiers
800, Square Victoria, 22e étage
C.P. 246, Tour de la Bourse
Montréal, QC   H4Z 1G3

Tel: (514) 395-0337 (Montréal)
(418) 525-0337 (Québec)
Toll Free: 1-877-525-0337
Fax: (514) 873-3090
Web site:  http://www.lautorite.qc.ca/en/index.html 


Financial and Consumer Affairs Authority
of Saskatchewan
6th Floor 1919 Saskatchewan Drive
Regina, SK   S4P 3V7

Tel: (306) 787-5645 (Regina)
Fax: (306) 787-5899 (Regina)
Web site:  http://www.fcaa.gov.sk.ca


Office of the Yukon Superintendent of Securities
307 Black Street,
1st Floor,
Whitehorse, Yukon Y1A 2N1

Tel: (867) 667-5466
Fax: (867) 393-6251
Web site:  http://www.community.gov.yk.ca/corp/securities_about.html 


This article needs to go viral!  Another fantastic piece by Albertan Larry Elford.   Elford’s writings ring true in so many ways and really strike at the heart of some of the biggest issues in the securities market in Canada.

We encourage you to watch the video as well – its a tad bit long and has some strong language but is equally eye-opening as Elford’s writings….


As you have read in this blog – we sent 4 emails to Brenda Leong (the Chair of the BCSC) in an attempt to get answers to some fairly simple questions.  As you may recall, one of those involved the blatant manipulation of evidence performed by Staff Litigators C. Paige Leggat and Olubode Fagbamiye.    It goes on record today, that we have NEVER received an email back from Ms. Leong for whatever reason.

So…we have decided to go another route and sent an email DIRECTLY to the offices of the Hon. Premier Christy Clark and Finance Minister Hon. Michael De jong.    Maybe they can get the answers from the BCSC as to why the Litigation Staff at the BCSC are able to manipulate evidence in a matter as significant as ours WITHOUT recourse.

Letter to Hon. Christy Clark and Hon. Michael Dejong REDACTED

As you see, we took the courtesy of copying our email and sent it to both Brenda Leong and the Executive Director, Paul C. Bourque.   In Mr. Bourque’s position of Executive Director, he is in charge of bringing allegations to the Respondents  by issuing a Notice of Hearing; and he is also the one that could have accepted the Respondents Settlement Offer that would/could have helped the former investors in FCC and DCF.

We NOW blame him in many ways with allowing Staff (trying to prove the case he brought forward) to manipulate the evidence relied upon.   And for certainly not looking at our Settlement Opportunity brought to him in early 2014.

Oddly enough, only moments after sending today’s email we received this ever-so-odd email reply from his desk…

BOURQUE Email Reply

EDIT:   We have found out Mr. Bourque has left the BCSC to pursue a job with the Toronto-based Investment Funds Institute of Canada (“IFIC”) as their new big shot President and CEO.

Hopefully, the new, yet-to-be-named Executive Director of the BCSC will look seriously at Settlement Offers that affect hundreds of investors;  and brings matters to a hearing room that are PROPERLY investigated with allegations that are accurate.


According to the website link for the Office of the Information Information & Privacy Commissioner for British Columbia (“OIPC”), IF the BCSC wanted to extend the time in which they responded to my request under the FIPPA Act, they had to fill out a Time Extension Request and submit that to their office “at least 3 business days before the time limit for responding to the request (as set out in sections 7 and 10 of FIPPA) has expired.”    They did not!

We did receive our FOI request on June 8, 2016 – the story of how we received them is truly bizarre and enables us to question the motives and professional misconduct (again) of Staff at the BCSC.

As indicated in a previous blog post, our FOI request was due on June 6, 2016 – and we would assume that means before the close of business.

At 10:48 AM on June 8, 2016, we filed a formal complaint with OIPC demanding to be told when we could expect our FOI request from the BCSC, along with concerns with the blatant lack of respect Staff at the BCSC have shown for the deadlines they must adhere to.

Miraculously, only 30 minutes later at 11:18 AM, an email arrived on our computer from the FOI Analyst at the Commission with the information we requested.

Why do they play these games?  We now look to the OIPC staff to determine what sanctions the BCSC will face with regard to this blatant disrespect of their Act.   What point is having a deadline if one does not need to abide by them?



On April 22, 2016 – under the Freedom of Information and Protection of Privacy Act (“FIPPA”), the Respondents sent a request regarding our matter with the BCSC.    As per their FIPPA’s policy, a person requesting the information has to send it directly to the agency that would have the records – in this case the BCSC.

We sent it directly to email address foi-privacy@bcsc.bc.ca as the BCSC website dictates.   On April 26, 2016, we received confirmation of our letter being received by Michelle Cook (who has a big fancy title – the Assistant Secretary to the Commission/Office of the Chair):

Letter #1 from FOI Office – April 26, 2016.pub

As you see in this letter, the writer indicates that “law” allows for 30 days for them to reply to our request and that we could expect a reply on (or before) June 6, 2016.

It is now 8:30 PM PST and the Respondents have yet to receive a reply to our FOI request – how is this even possible?   How can Staff at the BCSC breach the FIPPA Act without consequences or without notifying the Respondents of any delay?

We have 3 additional request into the FOI Staff at the BCSC and we certainly hope that they govern themselves under the laws of the FIPPA Act!  This includes a FOI request that is due on June 9, 2016.

The BCSC is NOT above the law and formal complaints will now be sent to the FIPPA Commissionaire outlining our concerns.   It is time the people at the BCSC wake up and become accountable for their lack of attention to detail – this reminds us very much of the investigation and hearing process a couple of years ago….

  • The wrong date on the Notice of Hearing;
  • Typos in Investigator Chan’s notes that they relied upon during the hearing;
  • Wrong name typed into Will-Statement that the Respondents were to rely on;
  • Staff secretary (Colette Colter) sending vital emails to the wrong email address;
  • and so on and so on!

Who are they accountable to?    Who governs the BCSC?


Shocking article we came across from June 2014 – investors in this project (on Vancouver Island) lost $370,000,000 dollars.

They are “pushing for more accountability from regulators” and feel “the regulators who were put in place to protect us, really dropped the ball.”    

Can you blame them?   On August 14, 2013, the BCSC issued a Notice of Hearing against the company for “Disclosure Violations” and by October 1, 2013 entered into a Settlement Agreement with the 2 directors of the company – fines totaling a mere $250,000 and they had to take a securities course….raise $370 million and have to pay the BCSC a $250,000 fine???   That’s not a bad deal if you are these two directors!

Now the interesting part – on October 18, 2013 (less than 3 weeks after settling with the Commission) their company (and associated companies) apply for and receive an Order under the Companies Creditor Arrangement Act (“CCAA”) leaving most of the investors with nothing.

From what is reported in the article (above), investors placed funds into a pool (known as a MIC) and thought the fund managers were going to use those funds to buy revenue producing properties – soon afterwards, they started straying from that business model and started developing project – which they did not have expertise in doing.   Losses occurred and they were not able to stay afloat.

It is the investors opinion that this is something the BCSC should have been able to see – during the investigation and before the Settlement was accepted.

Good thing the BCSC got their measly $250,000 first….do you think they will give any of that to the investors who lost over a quarter of a billion dollars?

Me neither!