In March 2008, Siskinds LLP filed a class action under Ontario's new investor protection legislation (Part XXIII.1 of the Ontario Securities Act) against TVI Pacific Inc. ("TVI") and certain of its directors and officers. The action arises out of TVI's August 9, 2007 disclosure that TVI would need to restate its financial statements for the years 2005 and 2006 and for the first quarter of 2007. Among other accounting errors, it is alleged in the Statement of Claim that TVI's stock options were manipulated and that TVI incorrectly expensed its stock options to senior executives. The class action is brought on behalf of all persons who acquired TVI securities from March 30, 2006 to and including August 9, 2007 (the "class period"), and who held some or all of those securities on August 9, 2007.
In April 2009, the parties in this class action, and a parallel class action commenced in Québec, reached an agreement to settle the class actions for $2.1 million which was subject to court approval. The settlement is a compromise of disputed claims and is not an admission of liability, wrongdoing or fault on the part of any of the Defendants, all of whom have denied, and continue to deny, the allegations against them.
By Orders issued by the Ontario Superior Court of Justice and the Québec Superior Court (the “Courts”) dated June 17, 2009 and June 29, 2009, respectively, the Courts certified and approved the Settlement Agreement reached between the parties. You may view a copy of the Settlement Agreement here: [English] [French]
The Courts have also approved a notice which provides information on how to file a claim for compensation or opt out of the settlement. Please review the court approved notice here: [English] [French].
The claims deadline has now passed. Cheques were mailed to all eligible claimants in September 2012.