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Heather Zordel Advocates for Improved Securities Regulation in Canadian Business Magazine

Published: 05/25/2010

On May 23, 2010, Heather Zordel, a Partner in the firm's Securities Group, was quoted in a Canadian Business magazine article called "Insider Trading Detection, Enforcement Needs to be Beefed Up: Experts."

The article which discussed insider trading regulation in Canada noted that regulators do not have the ability to compel witnesses to testify or produce documents in court. Heather said that regulators need more help to detect and prosecute suspected insider traders. "They sometimes feel that they're working with one hand tied behind their back when they're trying to do investigations."

Zordel is not aware that insider trading is rampant, but notes that there are not a lot of cases coming through the court system. "It says that we are not finding sufficient evidence to take matters to prosecution," she said. Heather stated that there is a concern that the full picture of regulatory violation is not always seen because of various breaks in jurisdictional issues.

The securities lawyer said she would like to see a review of detection and enforcement mechanisms as part of a national securities act expected to be proposed in the next few weeks.

Heather was part of a panel of experts advising Ottawa on how to improve the enforcement of securities regulation in Canada. She said that strengthening insider trading legislation was an area that was hotly discussed by the panel. "The question is ...(whether) we don't see a case because we don't have enough resources to effectively prosecute enough. ...Could we do that more effectively with a national regulator? I think that we could," she said.