Decision: In the Matter of Marchment & Mackay Limited et al.

DECISION

1. Counsel for Staff has offered to consent to an order under section 17 of the Securities Act authorizing the disclosure to the Respondents' counsel of the nameof any person examined under section 13 of the Act whom Staff intends to call as a witness in these proceedings and in respect of whom no section 17 order hasyet been made, and of the testimony given by such persons under section 13. Counsel for Staff has advised that the current intention of Staff is to call as awitness only one such person.

2. Staff shall forthwith give notice to such person of a hearing before this panel to consider whether it would be in the public interest to make such an order.

3. At the hearing, only counsel for Staff and, if he or she so desires, such person shall be present and may make submissions.

4. If counsel for Staff subsequently decides to call as a witness any other such person, a similar notice shall be given as soon as the decision is made, and thesame procedure shall be followed.

5. As regards persons other than the proposed witness referred to in paragraph 1 above, and the person in respect of whom a section 17 order has previouslybeen made in these proceedings, who have been examined under section 13 in the investigation which led to these proceedings, the following procedure shall befollowed.

6. Counsel for Staff shall review the testimony given by each such person to determine whether there is anything in it which may assist the Respondents in theirdefence in these proceedings and whether any legal privilege may exist which excludes the information from disclosure. It will be the obligation of counsel forStaff to separate "the wheat from the chaff".

7. If, in the view of counsel for Staff, there is anything in the testimony which may so assist the Respondents, Staff shall give a notice similar to that referred to inparagraph 1 above to the person involved, and a similar hearing shall be held before this panel, at which, however, staff shall not be obliged to consent to themaking of the order and shall draw to the attention of the panel any legal privilege which, in Staff's view, excludes the information from disclosure.

8. At each hearing referred to above, the panel will determine what, if any, disclosure will be ordered as being in the public interest.

9. At any such hearing, if the members of this panel, or either of them, are not available, another Commissioner or other Commissioners, not engaged in thehearing on the merits in these proceedings, shall take his place or their places.

10. If any clarification or amplification of this Decision is required, we may be spoken to.

11. If requested by counsel, reasons will be given for this Decision.
 

June 25, 1998.

"J. A. Geller" "Morley P. Carscallen"