OSC actually looking into this? Happy New Year everyone!
I just got off the phone with Jeff Fennel from the OSC. I had left a message for him and he actually called me back in a very short period of time which was rare and appreciated. I informed Jeff that I had spoken with him in the past about regulatory concerns regarding HRG over email and by phone and at that time he had told me the concerns I had were not issues the OSC would regulate over. I explained that I was now calling him as I had a couple of new concerns I felt would be regulatory issues that I wanted to run by him before sending an email in the case that it wasn't something they would look into or regulate over again.
I outlined my biggest issue of Nord / Severstal releasing a prospectus for Nord with resource estimates that pertained to HRG but were never released to the shareholders of HRG. Jeff said that if this was true it would definitely be something the OSC would investigate under disclosure regulations.
I also informed him that Nord had been borrowing money from HRG and purchasing shares while in possession undisclosed information. He said that would also be a regulatory affair.
Finally I discussed the fact that HRG had moved its Corporate Headquarters to the Yukon and held the AS meeting there so in my opinion we (shareholders) could not participate. He corrected me and said that HRG had incorporated in the Yukon but still had it's Corporate Headquarters listed in Toronto which gave the OSC greater authority over regulating issues. He went on to say the meeting was not breaking any regulations as long as they released the minutes, which I believe they did.
Jeff asked me to send him a detailed email with our concerns along with any evidence such as the Nord Gold Prospectus which I agreed to. I truly believe the OSC can not or will not turn their back on our new concerns, I also believe they have been watching HRG as Jeff seemed to have a good knowledge of their incorporation in the Yukon and Corporate Headquarter listing. Unfortunately i do not have the time to put this email together for the next few weeks. Can anyone else take a stab at it? Jeff's contact info is listed below.
Thanks,
ThyFish
Jeffrey Fennell
Senior Inquiries Officer
Ontario Securities Commission
inquiries@osc.gov.on.ca
416-593-8314
1-877-785-1555