Oral Ruling and Reasons: In the Matter of Global Petroleum Strategies, LLC et al.

The following text has been prepared for the purpose of publication in the Ontario Securities Commission Bulletin and is based on excerpts of the transcript of the hearing. The excerpts have been edited and supplemented and the text has been approved by the Chair of the Panel for the purpose of providing a public record of the decision.

Chair

[1] This is a hearing before the Ontario Securities Commission (the “Commission”) on September 2, 2009 pursuant to subsections 127(1) and 127(10) of the Securities Act, R.S.O. 1990, c. S.5, as amended (the “Act”), to consider whether it is in the public interest to make an order imposing sanctions against Global Petroleum Strategies, LLC, Petroleum Unlimited, LLC and Roger A. Kimmel, Jr.

[2] Staff of the Commission rely upon subsection 127(10) of the Act, which states that:

Without limiting the generality of subsections (1) and (5), an order may be made under subsection (1) or (5) in respect of a person or company if any of the following circumstances exist:

…
4. The person or company is subject to an order made by a securities regulatory authority in any jurisdiction imposing sanctions, conditions, restrictions or requirements on the person or company.

5. The person or company has agreed with a securities regulatory authority in any jurisdiction to be made subject to sanctions, conditions, restrictions or requirements.

[3] I am satisfied that notice of this hearing has been served on Global Petroleum Strategies LLC.

[4] I am satisfied on the material that is before me that it is appropriate and in the public interest that the order be granted as sought: having regard to the order and the decision of the Alberta Securities Commission; having regard to the Saskatchewan, Manitoba and New Brunswick orders; having regard to the consent that is filed on behalf of Petroleum Unlimited and Roger Kimmel Jr.; and on all of the background information.

[5] And that order is:

pursuant to paragraph 2 of subsection 127(1)of the Act, Petroleum Unlimited LLC and Roger A. Kimmel Jr. cease trading in or purchasing securities for a period of seven years;

pursuant to paragraph 3 of subsection 127(1) of the Act, any exemptions contained in Ontario securities law do not apply to Petroleum Unlimited LLC and Roger A. Kimmel Jr. for a period of seven years;

pursuant to paragraph 2 of subsection 127(1) of the Act, Global Petroleum Strategies LLC cease trading in or purchasing securities permanently; and

pursuant to paragraph 3 of subsection 127(1) of the Act, any of the exemptions contained in Ontario securities law do not apply to Global Petroleum Strategies LLC permanently.

[6] Those are the four items that I so order.

Approved by the Chair of the Panel on September 15, 2009.