Statement of Allegations: In The Matter of Global Privacy Management Trust and Robert Cranston

Staff of the Ontario Securities Commission ("Staff") make the following allegations:

1.Global Privacy Management Trust ("GPMT") is not an entity incorporated under the laws of Ontario, but carries on business in Ontario.

2.Robert Cranston ("Cranston ") is a resident of London, Ontario. Cranston is the principal of GPMT.

3.GPMT has an advertisement on the Internet which encourages potential investors to sign up for a free newsletter. The newsletter advocates investment in bank debenture trading programs and makes reference to a "250K program" about which investors may obtain more information.

4.The "250K program" purports to be an offering of preferred shares in a closed end investment that will trade in investment grade fixed income securities. The program promises to pay a return of at least 12% per month over a term of 12 months.

5.The respondents advertise that the shares in the investment are issued by a named registered limited market dealer. The named limited market dealer has no involvement in the advertised program.

6.Neither GPMT nor Cranston is or was registered to trade in securities in any capacity under the Act.

7.By soliciting investments in the trading programs, GPMT and Cranston traded in securities without registration, contrary to Ontario securities law.

8.The trading programs offered by GPMT and Cranston constituted a distribution of securities for which no prospectus was issued and no exemption was available, contrary to Ontario securities law.

Conduct Contrary To the Public Interest

9. The conduct of the respondents as described above contravened Ontario securities law and was contrary to the public interest.

10.Staff reserves the right to make such further and other allegations as Staff may submit and the Commission may permit.

December 12th, 2000.