The Globe and Mail reports in its Tuesday edition that the Ontario Securities Commission alleges that fund manager Emerge Canada and two executives improperly borrowed $6-million of investor money to cover operating expenses to run the company. The Globe's Clare O'Hara writes that the OSC announced Monday that it has launched a case against Emerge Canada; its founder, Lisa Langley; and its chief financial officer, Desmond Alvares. The OSC also levelled allegations against three members of the independent review committee (IRC) overseeing the Emerge funds -- Marie Rounding, Monique Hutchins and Bruce Friesen. This is the first time the OSC has launched an enforcement case against IRC members. Every investment fund in Canada is required to have an IRC, which is responsible for reviewing a fund manager's potential conflicts of interest on behalf of unitholders. Adam Chisholm, a lawyer with McMillan LLP and legal counsel for Ms. Hutchins and Ms. Rounding, said the OSC is relying upon "tenuous" grounds for its case. The OSC alleged in its enforcement action that Emerge "acted in its own interests" by taking an estimated $6-million of investor money, in "self-dealing loans" from the funds over a period of nearly four years.