An Ontario court has approved a plan submitted by the OSC and IIROC to distribute funds to investors burned in the third-party Asset-Backed Commercial Paper (ABCP) fiasco that began in 2007.
The Superior Court of Justice of Ontario—Commercial List ruled that the order dated June 5, 2008 by the Honourable C. Campbell J. does not preclude the OSC and IIROC from distributing $59.875 million received from five investment dealers in settling ABCP enforcement actions.
Those dealers include Canadian Imperial Bank of Commerce/CIBC World Markets and HSBC Bank of Canada, which agreed to pay $21.7 million and $5.925 million, respectively, to the OSC, and Scotia Capital, Canaccord Financial and Credential Securities, which agreed to pay $28.95 million, $3.1 million and $200,000, respectively, to IIROC.
Details of the distribution plan will be announced and posted on the websites of the OSC and IIROC in the near future.