Statement of Allegations: In The Matter of Serafino Iacono et al.

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

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

1. Chivor Emerald Corporation Ltd. ("Chivor") is incorporated under the laws ofCanada. Chivor is a reporting issuer in Ontario. Shares of Chivor are quoted onCDN.

2. Each of Serafino Iacono, Miguel de la Campa and Peter Volk Sales (individually, a"Respondent" and collectively, the "Respondents") is, or was during the financialyear of Chivor ended December 31, 1999 a director, officer, significant shareholder(beneficial ownership of 10% or more of the voting rights of Chivor) or individual thathas, or may have, access to material undisclosed information.

3. Chivor failed to file annual financial statements for its financial year endedDecember 31, 1999 (the "Financial Statements") on or before May 19, 2000,contrary to subsection 78(1) of the Securities Act (Ontario).

4. By virtue of his/her/its relationship, each Respondent has, or may have access to,information regarding the affairs of Chivor that has not been generally disclosed.

5. It would be prejudicial to the public interest to allow the respondents to trade in thesecurities of Chivor until such time as all disclosure required by Ontario securitieslaw has been made by Chivor.

6. It is therefore in the public interest for the Commission to order that all trading,whether direct or indirect, in the securities of Chivor by the Respondents cease untilsuch time as Chivor has made all filings it is required to make under Ontariosecurities law.