Order: In the Matter of Peter Beck et al.

Order
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IN THE MATTER OF THE SECURITIES ACT,
R.S.O. 1990, c. S.5 AS AMENDED

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IN THE MATTER OF
PETER BECK,
SWIFT TRADE INC. (continued as 7722656 Canada Inc.), BIREMIS, CORP.,
OPAL STONE FINANCIAL SERVICES S.A., BARKA CO. LIMITED,
TRIEME CORPORATION and a limited partnership referred to as “ANGUILLA LP”

ORDER

(Section 127 of the Securities Act)



    WHEREAS on March 23, 2011, the Ontario Securities Commission (the “Commission”) issued a Notice of Hearing and a Statement of Allegations in this matter pursuant to sections 127 and 127.1 of the Securities Act, R.S.O. 1990, c. S.5, as amended (the “Act”);

    AND WHEREAS on April 13, 2011, Staff and counsel for the Respondents attended before the Commission for a first appearance on this matter, and the Commission ordered that the hearing be adjourned to Wednesday, July 20, 2011 at 10:00 a.m., for the purpose of addressing scheduling and any other procedural matters or for such other purposes as the Panel hearing the matter may determine;

    AND WHEREAS on July 19, 2011, the Commission issued a Notice of Hearing setting the matter down to be heard on September 20 and 21, 2011 at 10:00 a.m. to consider whether, in the opinion of the Commission, it is in the public interest for the Commission to issue a Temporary Order pursuant to subsections 127(1) and (5) of the Act, that:

  1. trading in any securities by Biremis, Corp. (“Biremis”), Opal Stone Financial Services S.A. (“Opal Stone”), and a limited partnership referred to as “Anguilla LP” (“Anguilla LP (Calm Oceans)”) shall cease,
  2. trading in any securities by any agents, employees, successors or assigns of any of Biremis, Opal Stone, or Anguilla LP (Calm Oceans), through the use of order management systems technology owned by Orbixa Management Services Inc. (“Orbixa”), including computer servers used by Orbixa that are currently located at 1 Yonge Street, Toronto, Ontario (such technology referred to as the “ST Group Electronic Trading Platform”) shall cease,
  3. trading in any securities by Peter Beck (“Beck”), or any companies or persons that are not individuals, of which Beck is an officer or director, or any entity that is otherwise an associate of Beck, through the use of the ST Group Electronic Trading Platform, shall cease, and
  4. any exemptions contained in Ontario securities law do not apply to any of Biremis, Opal Stone or Anguilla LP (Calm Oceans),

until the conclusion of the hearing in this matter or for such period as the OSC may order;

    AND WHEREAS on July 20, 2011, Staff requested that a schedule be set for the hearing for a Temporary Order, and counsel for the Respondents requested that the matter be adjourned in order to allow for the delivery of Staff’s materials and for the Respondents to review them and obtain instructions in relation to the relief being sought by Staff;

    AND WHEREAS at the request of the Commission, Staff and counsel for the Respondents consulted with respect to dates for the hearing of the application for a Temporary Order and the hearing on the merits, and the Commission ordered that the hearing of the application for the Temporary Order be held on January 18, 19, 20, and 23, 2012, at the Offices of the Commission;

    AND WHEREAS the Commission ordered that a confidential pre-hearing conference be held on September 1, 2011 at 11:00 a.m. to address scheduling for the hearing on the merits, and any other matters that Staff and counsel for the Respondents wished to raise;

    AND WHEREAS on September 1, 2011, Staff and counsel for the Respondents appeared before the Commission for a pre-hearing conference, and the Commission ordered a timetable for the delivery of material and other interim steps in respect of the hearing for the Temporary Order, which timetable may be varied on consent of the parties or by further Order of the Commission, and further ordered a confidential pre-hearing conference be held on September 19, 2011 at 4:00 p.m. to address scheduling for the hearing on the merits, and any other matters that Staff and counsel for the Respondents wished to raise;

    AND WHEREAS on September 19, 2011, Staff and counsel for the Respondents appeared before the Commission for a pre-hearing conference to make submissions with respect to the scheduling of the hearing on the merits, and the Commission ordered that the hearing on the merits commence on October 10, 2012 at 10:00 a.m. and continue on October 11, 12, 15, 16, 17, 18, 19, 22, 24, 25, 26, 29, and 30, 2012, or such further or other dates as may be agreed upon by the parties and fixed by the Office of the Secretary, or as ordered by the Commission;

    AND WHEREAS Staff and counsel for the Respondents have delivered fact evidence as part of the interim steps in respect of the hearing for the Temporary Order;

    AND WHEREAS the Respondents have represented in affidavit material filed with the Commission that, as of December 7, 2011, all trading-related servers located in Ontario and owned or operated by the Respondents or their affiliates that were used by the Respondents to transmit or receive orders to purchase or sell securities had been moved from Toronto, Ontario to a location outside Canada;

    AND WHEREAS the Respondents have further represented in affidavit material filed with the Commission that Biremis and Opal Stone are no longer engaged in any trading activity;

    AND WHEREAS the Respondents have undertaken (on terms agreed to with Staff) that individual traders retained by the Respondents and located in Ontario will only place orders to purchase or sell securities on marketplaces within or outside of Ontario on the Respondents’ behalf if such orders are placed directly (or via sponsored access) with a dealer that is registered as an investment dealer under the Act (the “Undertaking”);

    AND WHEREAS on January 18, 2012, Staff and counsel for the Respondents appeared before the Commission, and the Commission ordered, on consent of all parties, that the hearing for the Temporary Order be adjourned to May 29, 30, 31 and June 1, 2012, or such further or other dates as may be agreed upon by the parties and fixed by the Office of the Secretary, or as ordered by the Commission;

    AND WHEREAS all parties agree that the hearing for the Temporary Order should be adjourned to be dealt with at the hearing on the merits scheduled to commence on October 10, 2012 at 10:00 a.m, or such further or other dates as may be agreed upon by the parties and fixed by the Office of the Secretary, or as ordered by the Commission;

    AND WHEREAS the Respondents have agreed that the Undertaking shall remain in effect in accordance with its terms;

    AND WHEREAS the Commission is of the opinion that it is in the public interest to make this order;

    IT IS HEREBY ORDERED, on consent of all parties, that the hearing for the Temporary Order shall be adjourned from May 29, 30, 31 and June 1, 2012, to be dealt with at the hearing on the merits scheduled to commence on October 10, 2012, at 10:00 a.m. or such further or other dates as may be agreed upon by the parties and fixed by the Office of the Secretary, or as ordered by the Commission.

DATED at Toronto this 28th day of May, 2012.

 

" Mary G. Condon "
Mary G. Condon