TORONTO - The Ontario Securities Commission says it has reached a tentative settlement with Katanga Mining Ltd. on allegations that the company violated securities rules by not properly disclosing public-sector corruption risks in the Democratic Republic of the Congo.
The regulator has accused the company, a subsidiary of Swiss mining giant Glencore Plc, and several members of its leadership of materially misleading financial disclosures that are contrary to the public interest by failing to disclose the risks.
The OSC says it will hold a hearing Tuesday to consider whether the proposed settlement is in the public interest. The details of the agreement are not being released until the hearing.
Katanga Mining issued a statement giving notice of the hearing while saying it would not comment further on the case until the hearing is done.
The OSC's statement of allegations, which have not been challenged in court, also names Aristotelis Mistakidis, Tim Henderson, Liam Gallagher, Jeffrey Best, Johnny Blizzard, Jacques Lubbe, and Matthew Colwill, who either were or are employees at Katanga.
The regulator alleges that the company failed in its annual information form to adequately describe the heightened risk associated with potential public sector corruption in the country and in relying on associates of Israeli billionaire Dan Gertler.
The Canadian Press