A British Columbia Securities Commission panel has fined and permanently banned Lynne Rae Nickford (also known as Lynne Rae Zlotnik) from B.C.’s capital markets for fraud. Nickford is a former registrant and longtime industry professional, says the decision.
In August 2017 the panel found that Nickford convinced 13 investors to loan money to or invest in her company Lynne Zlotnik Wealth Management (LZWM) in 2009 and 2010, and told investors their funds would be used for LZWM’s business operations and growth.
The panel found that Nickford spent more than $318,000 of investors’ money on personal expenses unrelated to her business—some of which included gambling.
In its decision the panel stated, “Nickford represents a significant risk to investors and to the integrity of our capital markets. Broad permanent market prohibitions against Nickford are necessary and appropriate to protect our capital markets and the investing public.”
For her misconduct, Nickford has been ordered to resign any position she holds as director or officer of an issuer or registrant. She has also been ordered to pay an administrative penalty of $300,000 and a disgorgement order of $318,141.
The panel also ordered that Nickford be permanently prohibited from: trading in or purchasing securities or exchange contracts; becoming or acting as director or officer of an issuer or registrant; becoming or acting as a registrant or promoter; acting in a management or consultative capacity for the securities market; and engaging in investor relations. The panel also issued a permanent cease trade order against LZWM.
Read the full decision.