legal_gavel_regulatory_feature

Provincial securities regulators in Alberta, Manitoba and New Brunswick have given notice to move ahead with regulations to address conflicts of interest for insiders and related parties.

On Thursday the provinces’ securities regulators issued a notice of adoption of Multilateral Instrument 61-101: Protection of Minority Security Holders in Special Transactions (MI 61-101)—which is already in place in Ontario and Quebec.

Read: Confusion about fees persists despite CRM2

“The instrument contains requirements for enhanced disclosure, independent valuations and majority of minority security holder approvals for transactions such as insider bids, issuer bids, business combinations and related party transactions,” the Canadian Securities Administrators says in a release.

CSA says the regulation is designed to facilitate “the fair treatment of all security holders” by addressing these potential conflicts of interests.

The effective date of MI 61-101 for the three provinces is July 31.

Also read: 

Are you making these common compliance mistakes?

OSC to publish embedded commissions policy options in 2017

Originally published on Advisor.ca
Add a comment

Have your say on this topic! Comments are moderated and may be edited or removed by
site admin as per our Comment Policy. Thanks!