Rule 31-507 - Section 4.1 extension of timeframe in which to become a SRO member - registrant working diligentlywith IDA to complete application.
OSC Rule 31-507 - SRO Membership - SecuritiesDealers and Brokers.
IN THE MATTER OF
THE SECURITIES ACT
R.S.O. 1990, C. S.5, AS AMENDED (the "Act")
IN THE MATTER OF
ONTARIO SECURITIES COMMISSION RULE 31-507
SRO MEMBERSHIP - SECURITIES DEALERS AND BROKERS (the "Rule")
IN THE MATTER OF
LE GROUPE OPTION RETRAITE INC.
(Section 4.1 of OSC Rule 31-507)
UPON the Director having received anapplication (the "Application") from Le Groupe OptionRetraite Inc. ("Option Retraite") seeking a decision,pursuant to section 4.1 of the Rule, to exempt until September30, 2002 Option Retraite from the application of subsection2.3 of the Rule, which would require Option Retraite to be amember of a self-regulatory organization (a "RecognizedSRO") recognized by the Ontario Securities Commission (the"Commission") under section 21.1 of the Act by therenewal date of its registration under the Act;
AND UPON considering the Applicationand the recommendation of staff of the Commission;
AND UPON Option Retraite having representedto the Director that:
1. Option Retraite is a corporation resultingfrom the amalgamation (effective as of May 1, 2002) of Le GroupeOption Retraite Inc. and its main shareholder, Les ConferencesOption Retraite Inc., pursuant to the provisions of Part 1Aof the Companies Act (Quebec). Option Retraite is not a reportingissuer in any of the provinces or territories of Canada or inany other jurisdiction;
2. Option Retraite is a member in good standingof Bourse de Montreal Inc.;
3. Option Retraite is registered under the Actas a dealer in the category of "broker";
4. Option Retraite's registration under theAct as a dealer in the category of "broker" is subjectto renewal on June 1, 2002 (the "Renewal Date");
5. Option Retraite received an exemption (the"Initial Exemption") from the Director under section4.1 of the Rule on December 19, 2001 which exempted Option Retraitefrom the requirement of the Rule that Option Retraite be a memberof a Recognized SRO by December 31, 2001 on the condition thatOption Retraite is a member of a Recognized SRO by the RenewalDate;
6. by letter dated March 16, 2001, Option Retraiteapplied for membership in the Investment Dealers Associationof Canada (the "IDA"), which application is currentlyunder review by the IDA;
7. the IDA issued a deficiency letter to OptionRetraite on April 26, 2002 in respect of its application whichset out a number of deficiencies (the "Deficiencies");and
8. Option Retraite is working diligently toaddress the Deficiencies with the IDA but will not be a memberof a Recognized SRO by the Renewal Date as required by the InitialExemption.
AND UPON the Director being satisfiedthat to do so would not be prejudicial to the public interest;
IT IS THE DECISION of the Director, pursuant to section4.1 of the Rule, that Option Retraite is exempted from the requirementof the Rule, as modified by the Initial Exemption, to be a memberof a Recognized SRO by the Renewal Date on the condition thatthis exemption will terminate on the earlier of the date thatOption Retraite becomes a member of a Recognized SRO and September30, 2002.
May 30, 2002.
"David M. Gilkes"