answer OSC
Thank you for your inquiry to the Ontario Securities Commission (OSC) concerning Monument Mining Ltd. (Monument Mining).
Illegal Insider Trading
The insider you are referring to, Mr. De Trentinian, is an insider and director of Monument Mining. Although Mr. De Trentinian did sell a combined total of approximately 588,000 shares during the period from October 5, 2011 to October 7, 2011 you will note that he acquired 11,600,000 shares on October 5, 2011; as such his disposition of 588,000 represents a small fraction of his total position, and does not appear to suggest any clear attempt to profit from undisclosed negative information to which he may have been privileged.
Proposed Private Placement
The October 11, 2011 press release was simply an announcement that Monument Mining intends to carry out a private placement. It is ultimately upto acompany's management and directors to determine how to conduct their business, which includes capital raising activities. The OSC would generally only intervene in a company's capital raising initiative if there was evidence the initiative was being undertaken without complying with securities law.
The Role of the TSX Venture Exchange
In addition to complying with Ontario securities law, companies which offer their publicly listed securities to investors in Ontario, must also comply with all the rules established by the exchange on which they are listed. In the case of Monument Mining, the applicable rules would be those of the TSX Venture Exchange.
The TSX Venture Exchange has requirements for private placements, including the maximum discount allowable for new securities issued. In its press release the company acknowledges "The Offering is subject to the approval of the Exchange and, if required by the Exchange, the approval of the Company’s shareholders."
For further information about TSX Venture Exchange requirements, you may wish to contact the TSX by e-mail at
info@tsx.com or by calling toll free 1-888-873-8392