Hundreds of investors who are believed to have have lost life savings, retirement funds and investments will be meeting in Calgary on Monday, September 10th, to discuss a class action suit launched against Platinum Equities Inc. and related companies.
The alleged scheme involves real estate in Alberta and British Columbia. The total capital raised from investors in various Platinum Equities Inc. projects is at least $160,000,000.00. While there are already hundreds of investors who have come forward, there is believed to be about 2,200 total investors who have been misled under this scheme, according to sources.
The players involved include Dave Humeniuk, who has been sanctioned by the Alberta Securities Commission, and carries a lifetime ban for offences related to the Real Estate Commission of Alberta.
“Investors have lost their life savings. We were misled and the Alberta Securities Commission needs to take action,” said Simon Okkerse, the spokesperson for the investor group. “The ASC is supposed to protect investors, especially against those who’ve already been convicted for this kind of scam. The people involved have been convicted for breaking the law before and they did not disclose this to us. There are thousands of victims and we are hoping more people will join this fight,” Okkerse added.
Investments were advertised as “safe and secure”. People were assured that these real estate investments were conservative, leaving them with the impression that the property investment was conservative. As a consequence of how it was marketed, many people invested registered funds such as RSPs and retirement savings.
“Given the evidence demonstrates that proceeds from various projects were comingled with one another, which was not contemplated in the investment agreements, it makes it impossible to pursue individual investments or claims. This is why we are pursuing a class action suit, framed in the manner we have,” said Kevin McGuigan, lead counsel, partner at McGuigan Nelson LLP. “We represent hundreds of clients in Alberta, British Columbia and Ontario who have been affected.”
Investors have until Sept. 30 to join the class action suit.
