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by Mike Caswell

The Canadian Investment Regulatory Organization has imposed $109,531 in sanctions and a one-year ban on former Scotia Capital Inc. employee Andrew Lougheed over off-book investments. CIRO found that Mr. Lougheed put clients and others into a company that manufactured decocainized coca leaf derivatives in return for finder's fees that included $55,850 (U.S.) in stock and cash. His actions amounted to unauthorized outside business activity, CIRO said.

The penalties for Mr. Lougheed are contained in a decision that CIRO released on Aug. 27, 2025. The $109,531 includes disgorgement of $74,531, being the Canadian equivalent of the fees that he received, plus a $20,000 fine. He must also pay $15,000 in CIRO's costs. The one-year ban prevents him from working in a registered capacity until July 17, 2026. (While CIRO only now got around to telling us about the penalties, it imposed them on July 17, 2025.)

The case arises from off-book investments in a company called Power Leaves Corp. that Mr. Lougheed facilitated between December, 2021, and February, 2023. (Power Leaves, which is not listed, describes itself as "ushering in the age of coca" on its website, and says that it is "ready to break Coca-Cola's monopoly on this ingredient and unlock the power of the coca plant for the masses.") According to CIRO, Mr. Lougheed pitched the company to clients and others, describing his "belief in the business" and organizing an investor presentation.

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