New Solutions Capital Inc. and Ronald James Ovenden - Opportunity to be Heard

IN THE MATTER OF THE REGISTRATION OF
NEW SOLUTIONS CAPITAL INC. AND RONALD JAMES OVENDEN

SUSPENSION OF REGISTRATION UNDER SECTION 28
OF THE SECURITIES ACT (ONTARIO)

1. New Solutions Capital Inc. (NSCI) is registered under the Securities Act (Ontario) (the Act) as a dealer in the category of exempt market dealer.

2. Ronald James Ovenden (Ovenden) is registered as the ultimate designated person of NSCI.

3. On April 11, 2012, the Ontario Securities Commission (the Commission) entered a Temporary Order (the Temporary Order) as against NSCI, several issuers related to NSCI (the Related Party Issuers), and Ovenden.

4. In the Temporary Order, the Commission noted that it appeared to it that NSCI and Ovenden, as well as the Related Party Issuers, may have failed to deal fairly, honestly and in good faith with their clients, contrary to s. 2.1 of OSC Rule 31-505 Conditions of Registration and may have engaged in conduct that is contrary to ss. 44(2) and 126.1 of the Act.

5. In the Temporary Order, the Commission ordered that all trading in the securities of the Related Party Issuers cease immediately.

6. In the Temporary Order, the Commission further ordered that NSCI and Ovenden cease trading in the securities of the Related Party Issuers, and that any exemptions contained in Ontario securities law do not apply to NSCI, the Related Party Issuers and Ovenden.

7. On April 13, 2012, Angelie Lomoljo (Lomoljo), who had been registered as the Chief Compliance Officer (CCO) of NSCI, resigned from NSCI effective immediately.

8. NSCI has not replaced Lomoljo as CCO, and has not applied for the registration of a new proposed CCO. By not designating an individual as the firm’s CCO, NSCI is in breach of s. 11.3 of National Instrument 31-103 Registration Requirements, Exemptions and Ongoing Registrant Obligations.

9. On April 25, 2012, the Commission extended the Temporary Order until October 12, 2012.

10. It appears to me, in my capacity as Director, that it would be objectionable for NSCI and Ovenden to be registered under the Act in light of the Temporary Order made by the Commission. Further, NSCI has failed to comply with Ontario securities law by not designating an individual as the firm’s CCO. Each of these grounds provides a basis for me to suspend NSCI’s

registration pursuant to s. 28 of the Act.

11. On behalf of staff (Staff) of the Commission, George Gunn, Manager, Compliance and Registrant Regulation, communicated Staff’s recommendation that NSCI and Ovenden be suspended in a letter (the Letter) to Ovenden dated April 12, 2012.

12. The Letter advised NSCI and Ovenden that they were entitled to an opportunity to be heard before the Director decided to accept Staff’s recommendation. NSCI and Ovenden confirmed that they would not exercise their right to be heard.

Decision

13. My decision is that the registration of NSCI and Ovenden be suspended, effective immediately.

April 26, 2012

“Erez Blumberger”
Acting Director
Compliance and Registrant
Regulation Branch,
Ontario Securities Commission