- Canadian Press
- Feb 24, 2017
Garth Drabinsky’s Ontario Securities Commission (OSC) hearing raises questions around second chances when it comes to financial discrepancies.
In 2009, former Livent CEO Drabinsky was found guilty for his role in the 1990s Livent Entertainment fraud that cost investors an estimated $500 million. Despite his conviction, several of his friends – including a retired federal judge – pleaded for leniency from the OSC, which is seeking to ban Drabinsky from investment and corporate board activities.
Professor Vaughan Radcliffe told The Canadian Press the OSC has an opportunity to send a strong message to investors.
“Livent was one of the most notorious frauds in recent financial history in Canada and if they can’t stop Mr. Drabinsky from having a role in capital markets, who can they stop?” he says. “It’s important to realize that people lost money, many millions of dollars and there should be consequences for that.”