MONTREAL -- Allegations of insider trading against 13 people affiliated with the ex-CEO of online gaming company Amaya Inc. will be discussed this morning at a hearing by an independent tribunal overseeing Quebec's financial sector.
Two days of hearings are set to begin Monday concerning a case filed in March against David Baazov's brother Josh and a dozen colleagues, friends and family.
The individuals are alleged to have used access to privileged information about impending Amaya acquisitions to reap nearly $1.5 million in profit over five years.
The 13 Baazov associates haven't been charged but they have been ordered not to trade shares or gain access to proceeds from their activities.
In an amended filing detailing its case, securities regulator L'Autorité des marches financiers (AMF) has alleged that David Baazov benefited from a kickback scheme in which he received payments in exchange for sharing privileged information.
Ian Robertson, a spokesman for David Baazov who is not part of these allegations, said Baazov is "innocent of any wrongdoing" and is contesting the allegations.
However, Baazov faces criminal charges before the Quebec Court, including influencing or attempting to influence the market price of the securities of Amaya and communicating privileged information. He resigned as CEO and last month and cut all ties with the company, though is a major shareholder.
He was charged as part of an investigation by the AMF that resulted in 23 charges against three people -- Baazov, Yoel Altman and Benjamin Ahdoot -- and three companies: Diocles Capital Inc., Sababa Consulting Inc. and 2374879 Ontario Inc.
