Order: In the Matter of Mughal Asset Management Corporation et al.

IN THE MATTER OF
MUGHAL ASSET MANAGEMENT CORPORATION,
LENDLE CORPORATION and USMAN ASIF

File No. 2022-15

June 3, 2024

ORDER

(Subsection 127(1) and section 127.1 of the Securities Act, RSO 1990, c S.5)

WHEREAS on March 5, 2024, the Capital Markets Tribunal held a hearing by videoconference to consider the sanctions and costs that the Tribunal should impose on Mughal Asset Management Corporation (Mughal), Lendle Corporation (Lendle), and Usman Asif (Asif) (collectively, the Respondents) as a result of the findings in the Reasons and Decision on the merits issued on November 1, 2023;

ON READING the materials filed by the parties and on hearing the submissions of the representatives for the Ontario Securities Commission (Commission) and of Asif, appearing on his own behalf and on behalf of Mughal and Lendle;

IT IS ORDERED THAT:

1. with respect to the Respondents:
   1. pursuant to paragraph 2 of s. 127(1) of the Securities Act (Act), trading in any securities by the Respondents shall cease permanently;
   2. pursuant to paragraph 2.1 of s. 127(1) of the Act, the acquisition of any securities by the Respondents is prohibited permanently;
   3. pursuant to paragraph 3 of s. 127(1) of the Act, any exemptions contained in Ontario securities law do not apply permanently to the Respondents;
   4. pursuant to paragraph 8.5 of s. 127(1) of the Act, the Respondents are permanently prohibited from becoming or acting as a registrant, an investment fund manager, or a promoter;
   5. pursuant to paragraph 9 of s. 127(1) of the Act, the Respondents shall jointly and severally pay to the Commission an administrative penalty of $800,000;
   6. in connection with the Mughal fraud, pursuant to paragraph 10 of s. 127(1) of the Act, the Respondents shall jointly and severally disgorge to the Commission $661,077 and US$245,000;
   7. pursuant to s. 127.1 of the Act, the Respondents shall jointly and severally pay $295,413.65 to the Commission for the costs of the investigation and hearing; and
2. with respect to Lendle and Asif:
   1. in connection with the Lendle fraud, pursuant to paragraph 10 of s. 127(1) of the Act, Lendle and Asif shall jointly and severally disgorge to the Commission $70,000; and
3. with respect to Asif:
   1. pursuant to paragraphs 7, 8.1 and 8.3 of s. 127(1) of the Act, Asif shall immediately resign any positions that he holds as a director or officer of any issuer, registrant, or investment fund manager;
   2. pursuant to paragraphs 8, 8.2 and 8.4 of s. 127(1) of the Act, Asif is prohibited permanently from becoming or acting as a director or officer of any issuer, registrant, or investment fund manager; and
   3. pursuant to paragraph 9 of s. 127(1) of the Act, Asif shall pay to the Commission an administrative penalty of $350,000.