B.C. Securities Commission extends orders against Everything Financial

The B.C. Securities Commission has extended temporary orders against Metro Vancouver financial adviser Peter Cishecki, Everything Financial Group and Everything Financial Consultants Inc. while allegations of fraud are investigated.

The orders bar trading in securities issued by the two companies and prohibit promotional activity by the companies and Cishecki. The allegations have not been proven. Everything Financial has said it is co-operating with the regulator and intends to clear its name.

According to the commission's ruling, the executive director presented complaints from two whistleblowers, agreements with 32 investors totalling more than $9.6 million, banking records and sworn evidence from Shannon Knapp. The evidence alleges there were no underlying investments, investor deposits were commingled with company funds, and the companies lacked sufficient assets to repay investors.

The panel said the evidence appeared, on a prima facie basis, to show investors were told their investments were guaranteed when they were not, and that later investor funds were used to pay earlier obligations. It found an extension necessary in the public interest because of the alleged risk of significant future investor harm.

The orders remain in effect until a hearing and decision. Cishecki's counsel took no position on the extension and did not seek a hearing on it.