This item is part of Stockwatch's value added news feed and is only available to Stockwatch subscribers.

Here is a sample of this item:

by Mike Caswell

The Canadian Investment Regulatory Organization has filed a case against former Portfolio Strategies Corp. employee Donald Edward McMillan, claiming that he improperly raised $560,000 for an industrial hemp company. CIRO says that Mr. McMillan acted in a conflict of interest, failing to disclose that he was an officer and director of the hemp company. Investors lost substantially all of their money, according to CIRO.

The allegations are contained in a notice of hearing that CIRO released on Tuesday, Jan. 6. The sole respondent is Mr. McMillan, who worked at a Vancouver branch of Calgary-based Portfolio Strategies until the firm fired him on July 4, 2023. (It is not clear if Mr. McMillan was the entirety of that Vancouver branch, but Portfolio Strategies no longer lists a Vancouver office.)

The case arises from investments in a company called Kemano CCS Inc., a supposed producer of industrial hemp. According to CIRO, Mr. McMillan learned about Kemano from a client in 2019 and became an officer and director of the company on Jan. 22, 2020. He also owned 15 per cent of Kemano, according to CIRO. The business plan of Kemano, as set out in the notice, included having Mr. McMillan "lead the efforts" to raise money, with the company intending to bring in $2-million.

The remainder is available to Stockwatch subscribers.
Sign-up for a FREE 30-day Stockwatch subscription and SEE NO ADS