OSC Panel Issues Sanctions Against IMAGIN Diagnostic Centres Inc. and Patrick J. Rooney for Breaches of the Securities Act

TORONTO – In a decision released this week, an Ontario Securities Commission (OSC) panel issued sanctions in what it found to be a “prolonged, systematic effort to solicit and sell” the securities of IMAGIN Diagnostic Centres Inc. (“Imagin”) to residents of Ontario and other provinces without registration.

Among other sanctions, the panel imposed a permanent ban on Patrick J. Rooney (“Rooney”), the “directing mind of IMAGIN” with respect to the trading of IMAGIN securities. Having found that Mr. Rooney “took all steps to facilitate and encourage the systematic solicitation and selling of IMAGIN securities”, the panel reprimanded Rooney and ordered the following sanctions for breaches of the Securities Act:

• Rooney and Imagin are jointly and severally liable to pay costs of $57,482.50;
• Rooney shall cease trading in securities of Imagin permanently and any exemptions in Ontario securities law do not apply to Rooney or Imagin for a period of 15 years;
• Rooney is prohibited from acting as a director or officer of any issuer for a period of 15 years and shall resign any position he holds as a director or officer of any issuer;
• Rooney and Imagin are prohibited from telephoning from within Ontario to any residence within or outside Ontario for the purpose of trading securities, except that Rooney may telephone a registrant for the purpose of issuing trading instructions.

A copy of the Reasons and Decision on Sanctions in this matter is available on the OSC website.

The mandate of the OSC is to provide protection to investors from unfair, improper or fraudulent practices and to foster fair and efficient capital markets and confidence in capital markets. Investors are urged to check the registration of any person or company offering an investment opportunity and to review the OSC’s investor materials available at www.osc.ca.

-30-