Last update of 2009 - Happy Holidays...

Please see the following update from the counsel of the Shire Class Action Group.  I am taking a break and will not be responding to phone calls or emails until after January 4th.

Happy Holidays!

On Monday I attended in court before Madam Justice Kent with other counsel for a variety of matters.  The major point was for Justice Kent to clarify her December 7 decision, in particular a couple of paragraphs which were not clear as to how debtor in possession funds were to be paid as a result of her decision not to continue the CCAA stay of proceedings.  This included a review of what she intended in her decision concerning the payment of professional fees.  She said her intention was that the debtor in possession financing was to be paid out of the equity in the properties first before any secured creditors' security would be impacted.  She found the professional fees of the monitor, monitor's counsel and debtor counsel (as usual in CCAA matters) were to be paid out of the DIP.  Unfortunately she also decided to revisit the October 7 order of Justice LoVecchio who directed that up to $100,000 of the DIP be paid for the investors' legal costs.  She found that procedurally this request had not been formally put before the court and she believed she could revisit previous decisions in CCAA proceedings where circumstances changed.

There was also an application by the DIP financier to appoint E&Y as a full blown receiver instead of the modified receivership powers that it holds currently.  She adjourned this application until January 8 at 9:00 am.as it was filed on late notice.

More updates...

On December 7, Madam Justice Kent rendered a decision in which she has declined to extend the stay and thus ended the CCAA proceedings on the basis that continuing CCAA proceedings would not add value over and above what the properties would be worth through a foreclosure process. Kent did say that there should be payment for the professionals to date under the dip, the receiver's charge and the administration fee from the equity in the companies.  It is likely that another receiver would be put in place to coordinate the various foreclosures and to deal with the properties against which there are not any conventional mortgages.  We have asked the existing receiver what happens next and they have advised that they are reviewing the matter.  In effect, the judge is saying that the properties should all be sold but it should not be under the umbrella of the CCAA because of the potential risk that secured creditors will lose some priority to the debtor in possession financing in place in CCAA proceedings.

It is important to note that the investors benefitted to a large extent from the investigation analysis and detailed report compiled by the Monitor.  This kind of detailed report would not have been provided in a non-CCAA receivership.

One of the applicants from the last hearing, Investit, has sent a letter to the Court asking for clarification of certain points in the decision.  The Court has set Monday, December 21 at 10:00 am to hear from them.

CCAA goes up in smoke...

Please see the this link for information on the decision today by Justice Kent who has declined the CCAA stay extention.  As for what this means, I don't have answers right now. Stay tuned.

A decision coming Monday...

The applications finished late in the day. The judge decided to take some time on the weekend and will provide her decision on Monday.
I'll provide an update when I get the news.

Next CCAA Court Date - December 4th...

The next hearing in the CCAA is Friday, December 4th.  I don't have the exact time, but it is expected to be at 8:30am.  Unfortunately, I won't be able to be there.  If you are there, could you kindly send an update my way after?

Bearspaw Appeals and Tsehum Harbour Removed from CCAA...

On Thursday last week, our counsel attended the Court of Appeal with respect to motions by the Bearspaw secured creditors (Investit Financial Inc. Romspen Mortgage Corporation) for a stay of the Order of Justice LoVecchio of October 8, 2009 pending the hearing of their leave to appeal applications on December 1, 2009. They want a stay because they do not want the parties to draw on the debtor in possession financing (which was increased from $1,000,000 to $2,500,000 by the Court Order) until the appeal. Shire and the Monitor say that this delay is potentially jeopardizing the restructuring process.

The judge hearing motions at the Court of Appeal started off saying that he did not have time to read the materials as he had only just received them. The parties agreed to adjourn this stay application to Friday, November 13 at 10:30 a.m., on the basis that they agree to a stay (ie not draw on the DIP) until that time.

Also on Thursday, the secured creditor for the Tsehum Harbour project (Fisgard Capital Corporation) argued its application before Justice Wilkins in the Court of Queen's Bench. Fisgard holds a mortgage over the Tsehum Harbour Property in BC and it had previously started foreclosure proceedings against this property. This property is owned by Bosun's Holdings Ltd. ("Bosun"). In the most recent order of Justice LoVecchio, the initial CCAA Order had been amended to include Bosun.

Fisgard argued that it didn't get notice and it should not be included in the CCAA proceedings. It also argued that as it was clear the outstanding mortgage exceeded the value of the property, this property should not be subject to superpriority DIP charge.

The judge agreed with Fisgard, and ordered that Bosun be removed from the proceedings. In particular the judge referenced the affidavit of Couch in support of the order adding Bosun in which she stated that Bosun did not have any real assets. As there was no evidence of any equity, it is difficult to argue that Bosun should remain in the proceedings, so this decision likely makes little difference to us.

RCMP make pitch for greater powers...

Great article in the Globe and Mail today by Janet McFarland. Read it on their website, or in pdf format.

Monitor's Reports Four and Five...

The Monitor/Receiver Ernst & Young have realeased two more reports. You can read them here (four) and here (five) or on their website at http://www.ey.com/ca/shire.

Manitoba Securities Commission - Cease Trade Order...

The Manitoba Securities Commission issued a cease trade order on September 30, 2009 against:

Jeanette Cleone Couch, Shire International Real Estate Investment Ltd., Shire Asset Management Ltd., Hawaii Fund, and Maples and White Sands Investment Ltd.. You can read the order here.

Federal Gov't News Release on White Collar Crime...

Minister Rona Ambrose made this press release in Edmonton today with myself and other alleged victims of Shire International in attendance. Similar press releases were also made in Montreal and Ottawa.

Ottawa on Wednesday will introduce long-awaited legislation that would impose a minimum two-year mandatory prison sentence to anyone convicted of committing fraud over $1 million regardless of the number of victims.

“Fraud can have a devastating impact on the lives of its victims, including feelings of humiliation for having been deceived into voluntarily handing over their life savings” federal Justice Minister Rob Nicholson said Tuesday. “This legislation will help crack down on white-collar crime and increase justice for victims by providing tougher sentences for the criminals responsible.”

The proposed new law will also add aggravating factors to be considered when handing down sentences in such fraud cases, including:

• The financial and psychological impact of the fraud on the victim, given the victim’s particular circumstances such as age, health and financial situation;
• If the offender failed to comply with applicable licensing rules or professional standards;
• The magnitude, complexity and duration of the fraud, and the degree of planning that went into it.

Media coverage so far can be found at the following links:
http://www.inews880.com/Channels/Reg/LocalNews/story.aspx?ID=1153391
http://www.google.com/hostednews/canadianpress/article/ALeqM5g5M1-rD7f3LoMAE9zTGKrdPaf2Hw
http://www.montrealgazette.com/Tough+legislation+fight+white+collar+crime/2124485/story.html

Several other related news articles

Ottawa proposes get-tough legislation for white-collar crime
- TV coverage with several of the Earl Jones & Mont Real victims interviewed at today's Montreal press conference with Hon. Minister Christian Paradis
Watch the CTV NEWS VIDEO PLAYER (see: Caroline Van Vlaardingen reports) at http://montreal.ctv.ca/servlet/an/local/CTVNews/20091020/mtl_white_collar_crime_091020/20091020/?hub=MontrealHome

More CTV News Coverage:
http://www.ctv.ca/servlet/ArticleNews/story/CTVNews/20091020/white_collar_091020/20091020?hub=QPeriod

Ottawa vows tougher white-collar sentencing
The Toronto Star http://www.thestar.com/news/canada/article/712924--ottawa-vows-tougher-white-collar-sentencing

White-collar criminals face new sentences
The Globe & Mail http://www.theglobeandmail.com/news/politics/white-collar-criminals-face-new-sentences/article1330732/
The Globe & Mail - Business http://v1.theglobeandmail.com/servlet/story/RTGAM.20091020.wwhitecollar1020/BNStory/Business/

Ottawa unveils white collar crime bill
The Globe & Mail online video http://www.theglobeandmail.com/video/ottawa-unveils-white-collar-crime-bill/article1330741/

White-Collar Redux (x2)
CBC News http://www.cbc.ca/news/canada/politicalbytes/2009/10/white-collar-redux-x2.html

Post Court Update...

On October 8 we appeared in Court with respect to a variety of matters. On the day before the hearing, the Monitor filed an extensive and lengthy report detailing its findings to date. The Monitor continues to obtain and review additional information as it becomes available.

The Court granted numerous orders, summarized as follows:

1. Extended the stay of proceedings to December 8
2. Increased the debtor in possession financing (interim financing) by $1 million
3. Refused to lift the stay of proceedings with respect to two mortgagees seeking to foreclose
4. Appointed Ernst & Young as Receiver so that it can market and/or deal with individual properties
5. Directed that funding of $100,000 be paid out of the debtor in possession financing to legal counsel for some of the investors to cover legal costs and disbursements
6. Directed the establishment of a Management Committee to advise the receiver.

The next hearing is scheduled for December 8, 2009, but we expect progress in the next month as the Receiver establishes the Management Committee and begins a request for proposal process concerning the potential sale of some or all of the Shire group properties. In addition, we expect the Receiver/Monitor to continue to obtain additional information to complement its most recent report.

Third Report from the Monitor...

The third report of the Monitor (Ernst & Young) can be found here. For more information, please visit http://www.ey.com/ca/shire.

See you in court tomorrow...

Back online...

Amazing what the folks at Apple can do in such a short time. I'm back online with a flashy new hard drive and all of my data back as though nothing ever happened. Now comes the hard part - catching up!

HARD DRIVE FAILURE....

My hard drive has died. All of my info has been backed up but I am off line for a few days while the wonderful folks at Apple install a new one. Thank you for your patience, I will have extremely limited access to email during this time. I'll post and update as soon as I am back online.

Summary of Proceedings - Friday October 2nd

Today we attended in Court with respect to an application to extend the stay of proceedings to and including October 8, 2009. Essentially the Monitor has not completed its report, and requires more time to do so. Given the short amount of time, we supported the extension and the Court agreed, extending the stay of proceedings to Thursday, October 8, 2009 before Mr. Justice LoVecchio. We also advised the Court that we had requested a shareholder registry for each project company, and that if necessary we would bring an application in this regard. The Monitor's counsel advised the Court that these lists were "in the works".

In addition, the application by certain mortgagees to lift the stay was adjourned by consent to October 8, 2009 at 9 am, when the next hearing will take place. The Court has booked one half a day for ths next hearing, at which point we will be will have a more complete Monitor's report, as well as further details concerning the proposed establishment of a stakeholder committee.

** This has not been emailed out, but will be sent out as soon as my Mac is back up and running early next week. **

Second Monitor's Report...

The second report from the Monitor, Ernst & Young, can be found here. It should be available on their website in a few days at http://www.ey.com/ca/shire. Also, please can read the latest Notice of Motion and Affidavit from Cleone Couch.

The next court date is tomorrow! Here are the details:

CCAA and Shire et al. (Action No. 0901-11866) will take place:

Friday, October 2nd @ 9:00am at:

Calgary Courts Centre
601 - 5 Street S.W.
Calgary, AB T2P 5P7

The proceedings are open to the public if you wish to attend. I encourage everyone to attend as the proceedings do affect your investment and attending is one of the best ways to stay informed. Please note that investors will not be able to speak at the proceedings, only attend as a part of the general public. I will be present and available afterwards for comments and questions.

A note regarding security at the Calgary Courts Centre: There is immense security at the centre, please come a little early to ensure that you can clear security prior to the hearing. After the public goes through security, there are electronic lists on the wall notifying the action number, name (In the matter of the CCAA and Shire et al.) and courtroom. If you can't find the room, there is an information office where you can ask for assistance.

I will also have copies of The Canadian Coalition Against White-Collar Crime demand stiffer sentencing for White Collar criminals petition for anyone who would like to sign.

Radio Canada International - Fraud Panel Discussion

I was invited to participate in a panel discussion about fraud on CBC Radio Canada International’s “The Link” with Marc Montgomery this week. Please listen to CBC Radio Canada International’s “The Link” online today at 9am MST:
http://www.rcinet.ca/rci/en/emissions/1952.shtml
Click the > (play) button on the right hand side of the page.

If you miss the live show today, the show will be available for the next month.

1. Go to: http://www.rcinet.ca/rci/en/emissions/1952.shtml
2. Click the > (play) button on the right hand side of the page
3. Select “Create my playlist”
4. Select “The Link - Part 2 –2009-09-25”

Appalling comments from Ed Stelmach...

Please read this article published in today's Calgary Herald where Ed Stelmach had a few less than savoury comments:

Speaking in Banff, Premier Ed Stelmach said he feels sympathy for the people who lost money in the alleged Calgarybased Ponzi scheme. But he said he's certain the province has strong securities legislation in place.

That's why there are loopholes that allow Ponzi schemes to proliferate in our province.

"My heart goes out to those people who took risk and went out and invested in what they thought was a reasonable investment-- but anyone that invests takes a certain amount of risk," Stelmach said.

So Ed... Would it be a correct assumption from your statement that a part of the risk is that a company may be fraudulent and stealing our money and that this is an acceptable risk according to YOUR government? I would argue that this is not a risk that was assumed or accepted by investors when they made their investments with these companies.

"I've been told by the federal government that our legislation for the Alberta Securities Commission is one of the best in the country of Canada, but we certainly want to know where there are maybe some gaps and ensure that it doesn't happen again."

You want to know where the gaps are? We're telling you and you're ignoring the facts before you.

Stelmach added there won't be compensation offered to investors stung by the scheme.

"It's risk-taking, but Alberta is always also known for its risk-taking," the premier said. "That's why we're as prosperous as we are."

Perfect. Welcome to Alberta. Open door to Ponzi schemes - buyer beware.

A great big THANK YOU to the Committee...

A few of you have asked if I paid for the trip to Ottawa myself. The answer is NO...

I owe a big THANK YOU to the Shire Victims Committee members who graciously came forward with their own hard earned cash and covered the expenses of my trip. Thank you, thank you, thank you is not enough.

Also, my hotel accommodation was provided by Diane Urquhart, the independent financial analyst lobbying for the Securities Crimes Unit.

Ottawa update...

On Monday, September 14th, I flew to Ottawa to represent the Shire Victims Group. Monday night was mostly a travel day, but I met with the Honorable Jim Prentice, Minister of the Environment at 8pm Monday night. Now one might ask why I would meet with Minister of the Environment, but it just so happens that he is my Member of Parliament. I had an excellent meeting with Minister Prentice where I discussed our particular situation. Our message was well received and the Minister encouraged me to follow up with him after I returned home. He also encouraged me to be strong and keep up our fight.

Specific recommendations made to the minister were:
1. Securities Commissions should handle all communications to investors regarding the cease trade order citing the specific allegations. Allowing a company under cease trade to provide official notice to investors using their own wording is not acceptable and is misleading to investors.

2. Creating a clear process for the intake of white-collar crimes complaints such as the proposed Securities Crimes Unit. Today there is a lack of clarity amongst divisions who should take a complaint and whether the complaint should be investigated.

3. Provide additional resources to police fraud units to reduce investigation times. Slow investigations lead to loss of critical evidence, lag in prosecutions, and reduced success of civil claims.

4. Creating a single Canada-wide National Securities Commission with a harmonized regulatory and enforcement framework. It is evident that individuals & corporations are able to simply pick up & relocate to other provinces in Canada and continue to perpetrate fraud.

5. Licensing the exempt market. This raises responsibility of those selling securities to the public to take reasonable care in knowing the nature and legitimacy of the investments for which they receive a commission.

6. Imposing mandatory minimum and stiffer sentences for white-collar crime. The life-time impact on victims of white collar crime is frequently no less than for violent crimes.

7. Eliminate the "one-sixth" rule completely, whereby non-violent criminals are eligible for parole after serving a small fraction of their sentence.

Tueday, September 15th was a jam-packed day. It started with hearing our story carried again by CBC Radio News. They covered the Syndicated Gold Depository SA story and mentioned our story and that I was in Ottawa as part of a group lobbing the federal government on a Securities Crimes Unit with hopes to lead to more effective investigations and enforcement.

At 8:30am, we had a meeting at the Prime Minister’s Office. The meeting was an opportunity for many victims groups to bring their stories forward in support of changes in legislation to protect Canadians from white-collar crime and to ensure that victims of white-collar crime receive support and see justice served. All who attended positively received the meeting and an invitation was extended to develop an on-going relationship to continue to develop changes to protect and provide justice for all Canadians with regards to white-collar crime. Government representatives at the meeting were:

PMO:
Julie Gaudreau - Special Assistant for Quebec
Adam Blinik - Special Assistant for Justice Groups
Sabrina Anzini - Special Advisor Legal Affairs and Policy

Department Of Justice:
Ken Bednarek - Senior Policy Advisor
Genevieve Breton - Director of Communications

At 11:00am, the first press conference was held in the Charles Lynch Press Theatre in the Center Block of Parliament. The subject of the first conference was “New Securities Crime Unit in Addition to New National Securities Commission”. Diane Urquhart, an independent financial analyst, is proposing a new structure to receive and assess securities crime complaints and to assign the criminal files for investigations and prosecution to the appropriate police services throughout Canada or to the RCMP. More information on her proposal can be found in the Securities Crime Unit video at http://www.ismymoneysafe.org. Several victims groups spoke in support of the proposal.

At 11:30am, the second press conference was held in the Charles Lynch Press Theatre in the Center Block of Parliament. The subject of the second conference was “The Fight Against Financial Crime”. Many victims groups shared their stories and proposals. I represented the Shire Victims Group and my press release was sent out by email to our group yesterday. Joey Davis of the Earl Jones Victims Committee also officially announced the BE STRONG Movement and The Canadian Coalition of Citizens Against White Collar Crime. Their website is http://www.bestrongfoundation.org.

Both press conferences were broadcast live to the offices of all Members of Parliament. The second press conference (including my statement) was also carried live by CTV News Watch and CBC Newsworld.

After many press interviews, we then met with Justice Minister Rob Nicholson who briefed our group on the changes to be announced at his press conference and advised us that he is committed to ensuring victims are heard. Three of the group members were present at the press conference: Earl Jones Victims Group, Norburg Victims Group, and Diane Urquhart. The changes being put forward by the Justice Minister are:

- Amend the criminal code to allow for mandatory penalties for fraud
- Additional aggravating factors to justify longer sentences
- Requirements that the courts consider restitution orders

Further, the minister also talked in our meeting about future actions that may include:
- Prohibitions to limit criminals ability to ever repeat similar crimes in the future
- Continued push to pass a bill to end house arrest
- Promise to talk to the Public Safety Minister to remove ability for those convicted of white-collar crime to receive parole after serving only 1/6th of their sentence.

At 2:20pm, we were guests of the PMO at Question Period in the House of Commons where the issue of white-collar crime was raised by a few of the members.
http://www.cpac.ca/forms/index.asp?dsp=template&act=view3&pagetype=watch&lang=e&watchID=1e



The groups who attended the meetings on Tuesday were:
Earl Jones Victims Committee
Norburg Victims Committee
Norshield Victim Group
Nortel Bankruptcy Justice Committee
National Pensioners and Senior Citizens Federation
United Senior Citizens of Ontario
Diane Urquhart – Independent Financial Analyst

Finally, at 3:30pm Joey Davis of the Earl Jones Victims Group and I were interviewed on CPAC Primetime Politics with Peter Van Dusen. You can watch the story online here:
http://www.cpac.ca/forms/index.asp?dsp=template&act=view3&pagetype=vod&lang=e&clipID=3085



I finally arrived home at 10:30pm on Tuesday night.

Tories mull minimum sentences for white-collar crime

A few interesting articles for you:

Tories mull minimum sentences for white-collar crime
Mike De Souza, Canwest News Service
Published: Thursday, August 13, 2009
The Vancouver Sun

Ottawa's looking at minimum jail terms for swindlers: justice minister
Mike De Souza, Canwest News Service
Publushed: Friday, August 14, 2009

A long winded update to end a busy week...

Its been another busy week, so I thought I’d send one big update to keep the spam down...

Legal update:
John Blair was away from his office this afternoon, I’ll have to get an update from him next week to send out on Wednesday. We have many more investment victims signing on to the class action every day. Mr. Blair’s office has requested several key documents and will be reviewing them as they are received. We are actively preparing for the E&Y report later this month and the next CCAA hearing. Please mark your calendar: The next CCAA hearings is October 2 @ 9am at the Calgary Court Centre. Note – the date/time may be subject to change so I’ll keep you posted!

Political Update:
Last week, Joey Davis of the Earl Jones Victims Committee hand delivered a letter on behalf of our group to Justice Minister Rob Nicholson. On Tuesday, he also hand delivered a similar letter to Finance Minister Jim Flaherty. Our letter was graciously accepted by both Ministers and I was provided with direct contacts in both offices to follow up. I look forward to updating you on this progress.

I was contacted early this week by Diane Urquhart who graciously invite me to Ottawa on Tuesday, September 15th to represent the Shire Victims Group at a press conference with the National Press Gallery. Ms. Urquhart, an independent financial analyst, is lobbying for the creation of a Securities Crime Unit (SCU), a new Federal - Provincial structure to organize and fully utilize the resources and facilities of all the police agencies of Canada in order to provide for the public safety of our pension funds and personal retirement savings throughout Canada. For more information, please watch the Securities Crime Unit video on her website http://www.ismymoneysafe.org

Further to the press conference in Ottawa, the trip will be an excellent opportunity to build relationships with the Earl Jones Victims group and several other similar groups. I will also be attending other important meetings which I will provide updates and details about once I return.

Media Update:
I was a guest on The Rutherford Show on Wednesday, September 9th at 10am. If you missed the show, please check it out in their audio vault. Please be sure to listen past my interview for the very relevant interview with private investigator Ron Reinhold. The show will be available for you to listen to, at your convenience, for one month from the air date.
http://www.am770chqr.com/Station/AudioVault.aspx

Manitoba Securities Commission - Notice of Hearing
The Manitoba Securities Commission held a hearing September 9th at 9am local time to determine if the MSC should also impose a cease trade order against Jeanette Cleone Couch, Shire International et al. You can view the notice of hearing here:
http://www.msc.gov.mb.ca/legal_docs/investigation/hearings/couch.html
I'll keep my eyes open for the results of the hearing and post them as soon as possible.

Website Updates:
I have updated the documents website that you can link to from the blog at the bottom of the “Document Links” section choose “All documents referred to in this blog” or directly here:
http://sites.google.com/site/shireinvestor/Home
I will be posting documents by project. If you have additional documents for a specific project that are not posted, please get in touch with me and I’ll let you know if I still need copies. I am still in the process of getting documents online, but there are several new documents including recent pictures on some of the projects.

Committee Phone Calls:
Just a reminder that you may receive a phone call from one of our committee members over the next few days or weeks.

Other News:
The Earl Jones Victims Committee is working to create the Canadian Coalition Against White Collar Crime. Their website is:
Be Strong Movement: http://www.bestrongfoundation.org/
Please sign their petition and support the fight against financial crime in Canada:
http://www.bestrongfoundation.org/petition/

Please don’t hesitate to contact me should you have any questions or comments.

Manitoba Securities Commission - Notice of Hearing

I received this notice via one of our group members this morning. The Manitoba Securities Commission held a hearing this morning at 9am local time to determine if the MSC should also impose a cease trade order against Jeanette Cleone Couch, Shire International et al. You can view the notice of hearing here:
http://www.msc.gov.mb.ca/legal_docs/investigation/hearings/couch.html

I'll keep my eyes open for the results of the hearing and post them as soon as possible.

The Rutherford Show - In case you missed it...

If you missed the show... You can hear it at you convenience, for the next month, at the audio vault at QR 77 and 630 CHED at:
http://www.am770chqr.com/Station/AudioVault.aspx
http://www.630ched.com/Other/audiovault.html

Date: September 9, 2009
Hour: 10:00

Private Investigator Ron Reinhold also spoke on today's show regarding real estate fraud. His website is: http://www.rainbowinvestigations.com/

He also wrote an article in "The Investigative News" regarding our story on August 24, 2009 which can be found here:
http://www.rainbowinvestigations.com/news/story.php?rainbowID=310

The Rutherford Show - Today @ 10am...

Our story will be covered live on The Rutherford Show today at 10am MST. Please tune in:

Calgary: AM 770 CHQR
Edmonton: AM 630 CHED

Online:
www.am770chqr.com
www.630ched.com

My apologies for the short notice – I just received confirmation.

A busy week and lots of updates...

It has been a busy week! There are a lot of things to update:

We have been in touch with the Earl Jones Victims Committee in Montreal and they are actively supporting our cause. Further, we are actively supporting their fight to change the face of white collar crime in Canada. Today, Joey Davis, from the Earl Jones Victims Committee, hand delivered a letter from on behalf of our group to Justice Minister Rob Nicholson (read the letter here). He will also be hand delivering a similar letter to Finance Minister Jim Flaherty on Tuesday. Joey Davis and his team have been instrumental in our cause over the last week, and we owe them a debt of gratitude for their support. We will be supporting their cause and their creation of the Canadian Foundation for Coalition Against White Collar Crime. Please do your part by sending a similar letter to your member of parliament.

Today, I was present in court for the CCAA proceedings and a number of other alleged investment victims also attended. Mr. David McLelland attended the hearing to represent us on behalf of Mr. John Blair as Mr. McLelland has expertise with regards to CCAA proceedings. A summary and statement from BLG regarding today’s hearing can be found here. Also, the first Ernst & Young report was emailed out to everyone this morning. In case you missed it – its also posted on the blog this morning. The next hearing date is October 2, 2009 @ 9am - mark your calendars!

On Wednesday, September 2nd, the RCMP officially announced that they are investigating Shire and its business dealings. We are thankful for the investigation and look forward to any future criminal charges that could be laid as a result of the investigation.

Other initiatives that have increased awareness of our cause are:

1. New Facebook Group: http://www.facebook.com/search/?q=swindled&init=quick#/group.php?gid=126788564322&ref=search&sid=522696999.3222755506..1

2. Media Coverage by CBC Radio, TV and web news.

3. Formation of the Shire Victims Committee: The committee will allow us to move forward with better representation of all investment victims’ interests and also additional manpower to continue our fight.

4. More investment victims are joining the class action lawsuit and the victims group. We have strength in numbers and those numbers continue to grow.

What can you do to help further our cause??

1. Join the class action lawsuit.
2. Write to your member of parliament to support changes to protect our group and all Canadians from white collar crime. If you don’t know who your MP is, please visit: http://www2.parl.gc.ca/Parlinfo/Compilations/HouseOfCommons/MemberByPostalCode.aspx?Menu=HOC
3. Join our Facebook page to further raise awareness of our cause.

Should you have any questions regarding the events this week or any others, please don’t hesitate to call or email.
Have a fabulous long weekend!!

First CCAA Report...

Here is the first CCAA Report from Ernst & Young as well as the Notice of Motion and Cleone Couch's Affidavit from today's hearing.

Additional information can be found on the Ernst & Young website at: http://www.ey.com/ca/shire

Calgary CBC TV News Coverage...

Please watch Calgary CBC TV News tonight from 5-6:30pm for our story. Our story should air approximately 6pm, but it could change so be sure to catch the entire news cast!

Read the story here:
http://www.cbc.ca/canada/calgary/story/2009/09/03/calgary-shire-international.html

Off To Court... Join Me If You Can...

A hearing in the matter of the CCAA and Shire et al. (Action No. 0901-11866) will take place:

Friday, September 4th at 9:00am at:

Calgary Courts Centre
601 - 5 Street S.W.
Calgary, AB T2P 5P7

The proceedings are open to the public if you wish to attend. While we don’t expect the proceedings to be particularly dynamic and exciting, you do have the right to attend. Please note that investors will not be able to speak at the proceedings, only attend as a part of the general public. I will be present and will also be available afterwards outside the Court Centre for comments and questions by investment victims and the media.

A note regarding security at the Calgary Courts Centre: There is immense security at the Courts Centre, please come early to ensure that you can clear security prior to the hearing. After the public goes through security, there are electronic lists on the wall notifying the action number, name (In the matter of the CCAA and Shire et al.) and courtroom.

Now on Facebook...

Please join our new Facebook page!

CBC Radio News Coverage...

Please tune into CBC Radio News tomorrow morning at 6:30am, 7:30am, or 8:30am. CBC Radio News will be covering our story!!

There Is No *I* In Team...

On Monday night, a committee of Shire investment victims met for the first time. The committee is composed of Shire investment victims who have joined the class action claim and are as committed to championing our cause as I have been.

The purpose of the committee is to ensure that utmost efforts are continually being made to bring the full force of the regulatory, legal, political, and media channels to bear on our situation and recover our money. However their role is not to provide advice or opinion on individual situations and circumstances you may be facing as a result of your investment in Shire.

Our committee members are: Suzanne, Lucia, Patrick, Mark, Rob, Carolynn and Devin. The expertise within the committee includes investment, mortgage financing, fundraising, economic, management, and legal backgrounds.
You may be hearing from members of our committee by telephone over the coming days or weeks.

A meeting with Cleone Couch...

I am pleased to advise that on Friday, August 21, 2009, our legal counsel, John Blair, and I had a lengthy meeting with Cleone Couch, her legal counsel, and a representative of Ernst & Young LLP to discuss the status of various Shire projects. The atmosphere was one of cooperation and mutual courtesy and Ms. Couch provided a significant amount of information that supplements what we knew from prior correspondence, court searches, title documents and other sources. Ernst & Young LLP is working diligently to gather information and formulate a plan to deal with the various properties on a going forward basis. We are gratified that both Ernst & Young LLP and Shire seem to perceive the utility of involving the investors in the process. A preliminary report will hopefully be ready for the next court appearance in the CCAA action set for September 4, 2009. Mr. Blair and I are currently examining the benefit of retaining property development experts to assist us, Shire and the court in assessing the development, sale or other prospects for the various Shire projects, some of which appear to be more viable, or at least capable of monetization, than others. Obviously, considerable progress is being made and will continue on several fronts in the near future.

Please Note: You are not represented in the class action unless you have sent in your signed retainer letter along with your payment to John Blair’s office. Please contact me if you require further information.

Shire seeks CCAA Arrangement...

Please review the following documents along with the update from John Blair's office:

CCAA Affidavit
CCAA Initial Order
Update from Borden Ladner Gervais

Overall, we feel that this is excellent news! Please contact me if you have any questions: investor@telus.net

Further information can be obtained from Ernst & Young at www.ey.com/ca/shire or by calling Ernst & Young at 403-206-5432

The National Post Covers Our Story...

The National Post carried our story today on page A8, this is the same story by reporter Daryl Slade carried in the Calgary Herald and the Edmonton Journal. You can also find the story online here.

The Calgary Herald Covers Our Story...

Reporter Daryl Slade from The Calgary Herald covered out story in today's paper in the City & Region section, Page B2. You can also read the story online here.

Update: The story was also carried by the Edmonton Journal here and on page F3 on August 12th.

Late moving notice... with no forwarding address.

Shire sent out a letter to investors today about their move. I find it interesting that they date their letter on August 4th, but the email clearly shows that the letter was sent today (August 7th) at 7:57pm MST which is after my blog post about their move. Also surprising is their mention that they tried to re-negotiate their lease with the landlord. It is my understanding that Shire sufficiently moved out of the space without notice to the landlord and as such, the landlord has locked them out.

Is there a new Shire address? Why were investors not notified of the move prior to the move?? What are the dates of the September meetings? What is the location?

The number you have reached is not in service ....

Shire International phone number 403-262-1222 is no longer in service. Their website indicates this to be the case, one can only assume that it is being moved to a new location.

No forwarding address...

So much for restructuring! It has come to my attention that Shire International has moved out of its office location. The company who manages the building has had some troubles with individuals trying to gain access to the Shire office space. As Shire has moved out of the space and has not yet provided a new address, you will need to undertake other means to contact Shire International such as phone, email or telepathy....

More letters from Shire....

Here is another letter sent out by Shire this week. Is it coincidence that they sent out a letter when I announced the meeting, and now another letter when I post about joining legal action?

When I forwarded this letter to Mr. John Blair, this was his reply:

I extended an invitation to her (through her lawyer) to meet with me to explain in a friendly setting exactly what happened with everyone's money and the projects. I indicated we would like to see bank records and other ledgers. This was an excellent opportunity to clear her name but she has not taken us up on it.

Please don't rely on just Cleone or me for the facts, contact the ASC:

1. Contact the Alberta Securities Commission Public Inquiries at
   Local: (403) 355-4151
   Toll-Free: (877) 355-4488
   Email: inquiries@asc.ca
   
   
2. Contact the ASC Investigator, Vi Pickering:
   Phone: 403-297-7745
   Email: vi.pickering@asc.ca

Back in town...

I'm back from holidays... lots has happened while I was away including a mail box full of messages. Please be patient while I answer the 140 messages that are waiting here staring at me.

Today, I sent out a letter from John Blair regarding joining the class action and the legal fee structure. The email went out to those already on my distribution list. I will NOT be posting this letter on my blog.

If you are interested in finding out more about the legal action, please email me and I'll add you to my investor list and forward the letter to you. If you've already emailed me over the last two weeks and have not yet heard from me, I'll include the letter with my reply to you - so no need to email me again asking for the letter.

Thanks again for your patience!

Archer ... not missing

Greetings from London. Archer is no longer missing. He contacted me via email since my last post. I have not responded to him ... so Mr. Archer, if you are reading this, please understand that I am thankful for your contact and have forwarded your correspondence to Mr. John Blair who is my counsel and will respond on my behalf as required.

You've been served!

A little update from Holland... Actually, its an update from John Blair and I'm posting it from Holland.

Couch is served. Have not heard from a lawyer yet. Archer and Blain missing. Simon is served and has counsel.
Eyelogic served, and counsel retained.
Alberta lands are liened. We are working on BC lands but that requires a BC legal action---it is almost ready.
Met on Monday with Meyers Norris Penny on them possibly doing our forensic work: tracking assets and money.

Not sure if you'll see anymore updates while I'm away. Take care and talk to you all soon.

Hiatus...

After a very busy few weeks getting all of this going.... I'm off for a much deserved vacation. See you all on the 27th. In the mean time, here is where to get info:

1. Contact your local Securities Commission
2. Contact the Alberta Securities Commission Public Inquiries at
   Local: (403) 355-4151
   Toll-Free: (877) 355-4488
   Email: inquiries@asc.ca
3. Contact the ASC Investigator, Vi Pickering:
   Phone: 403-297-7745
   Email: vi.pickering@asc.ca
   

If you would like to join the investor group, please provide me with:
• Your first and last name
• Your address and contact phone number
• The amount you invested in each of the projects
• Your interest in joining any legal action

Note: You are not required to join legal action to join the investor group

Regina Leader Post covers our story!

Bruce Johnstone from the Regina Leader Post covered our story today! He did miss one point in that I did receive a few interest payments on my investments, but little else.

http://www.leaderpost.com/business/fp/Cease+trade+order+extended/1772708/story.html

Meeting Minutes

Here are the meeting minutes from Monday's meeting!

Saskatchewan Financial Services Commission issues Extended Cease Trade Order

The Saskatchewan Financial Services Commission has issued an extended cease trade order against Shire International Real Estate Investment Ltd., Hawaii Fund, Maples and White Sands Investment Ltd., Shire Asset Management Ltd., Jeanette Cleone Couch

If you are not located in Alberta and are an investor, please also contact your local provincial security commission.

*** If you are an investor in the USA, please contact me as soon as possible. ***

Statement of Claim Filed against Cleone Couch, et al

The Statement of Claim De Wet, et al v. Cleone Couch, et al was filed yesterday. Please let me know if you are interested in finding out more about joining this legal action.

We had a great turnout at the meeting last night. I'll post and email minutes as soon as they're ready.

Defendants - JEANNETTE CLEONE COUCH, SHIRE INTERNATIONAL REAL ESTATE INVESTMENTS LTD., SHIRE ASSET MANAGEMENT LTD., THICKWOOD REAL PROPERTY INC., MAPLES AND WHITE SAND INVESTEMENT LTD., HALAMA GARDENS LTD., HALAMA GARDENS LLC, PHILIP ARCHER, CDN MAUI LLP, CHEMAINUS PROPERTIES LTD., SKAHA LAKE DEVELOPMENT LTD., ORILLIA INVESTMENT LTD., BEARSPAW AT 144th AVENUE LTD., FORT MCMONEY PROPERTIES LTD., FORT MCMONEY PROPERTIES II LTD., AC&C DEVELOPMENT GROUP LTD., TSEHUM HARBOUR LTD., BOSUN'S HOLDINGS LTD., TSEHUM HARBOUR PLACE HOLDINGS LTD., TSEHUM HARBOR BONDS LTD., EYELOGIC SYSTEMS INC., TARMAN INC., CC MANAGEMENT INC., KMC CAPITAL INC., WILLIAMSON & ASSOCIATES INC., LUREE WILLIAMSON, BOB COUCH, DENNIS BLAIN, and ANDREW SIMON.

Shire Restructuring

As I am one to post information from all sides... Please see this letter I received today from Shire International Real Estate Investments Ltd. I'm sure most of you received this same letter, however, I want to ensure everyone gets it.

Shire Investor Meeting

I will be hosting an information meeting for all Shire investors for all Shire projects. Due to tight deadlines, the date has been changed to Monday, July 6th at 6:30pm. Please pass this meeting notice on to all Shire investors you may know:

Shire Investor Group Information Meeting
University of Calgary - Murray Fraser Hall 162
Monday, July 6th @ 6:30pm
Parking: Arts Parkade or lot L1
Meeting Costs: $2.00/person – This is to cover the cost of the meeting space and materials.

A map of the campus can be found here:
http://www.ucalgary.ca/map/index.html

FAQ:

Q – Will the meeting be video taped or available via Skype/teleconference?
A – No, the meeting will not be video taped or available via Skype/teleconference. You are welcome to send someone on your behalf to the meeting.

Q – Will there be meeting minutes taken?
A – Yes, meeting minutes will be taken and information distributed to all investors after the meeting.

Q – What happens to the $2.00 you are collecting per person?
A – The money will be used to cover the costs of the meeting space and materials. Any surplus funds will be deposited to a trust bank account to cover the cost of future meetings and administration for the group.

Q – What if I don’t want to pay the $2.00 fee?
A – You will still be welcome to attend the meeting as the information is valuable to all investors.

Q – Will Cleone Couch be at the meeting?
A – This meeting has not been called by Shire International Real Estate Investment Ltd. and is not an official shareholder or bondholder meeting. This meeting is intended for Shire investors to meet other Shire investors and to share information within an independent investor group. However, this is an open meeting for investors and some Shire representatives may choose to attend.

Q – Will your lawyer be attending the meeting?
A – Yes, Mr. John Blair will be in attendance.

Interest payments "delayed" for Fort McMoney II and Maple & White Sands

Shire sent out these letters to investors in Fort McMoney II and Maple & White sands on June 26, 2009. Investors in both projects were due to receive interest payments from their respective projects on June 30, 2009. According to the letter, there is a temporary delay in payments until restructuring of all current projects by a third-party advisory panel is complete. Who is the 3rd party? Exactly when will the restructuring be complete?

I wonder what happened to the project updates that were forthcoming within the week as mentioned in the letter dated June 15, 2009? Its been 14 days now.... I wonder when Shire will be calling their project specific bondholder meetings mentioned in this letter from June 22, 2009? Lets give some dates, details, and live up to commitments....

I won't hold my breath.

ANNOUNCEMENT!! - Investor Group Meeting For ALL SHIRE SHAREHOLDERS

I am please announce that I will be hosting a general meeting for all shareholders who are members of the investor group and any other shareholders who wish to attend on Thursday, July 2nd at 6:30pm. This is a tentative date as I have just received confirmation from our lawyer that he is able to attend. I will confirm on Monday once I receive confirmation from our venue.

I'll provide details about the venue and agenda on Monday.

Have a fantastic weekend!

Spread the word...

I want to say a big THANK YOU to everyone spreading the word about the investor group and my blog. I've reached many investors so far, but I know there are many more out there. Please continue to spread the word about my blog and investor group.

If you are reading my blog and haven't yet contacted me, please do! And if you're on my list already but have not yet provided me with the additional information I asked you for, kindly send it in to me as soon as possible to ensure my investor list is accurate.

NOTE: You are not required to join any legal action to be on the investor list and receive information from me. If you are undertaking efforts of your own or looking to meet others in your project, please contact me and we'll talk about how I can help get your word out.

Keep spreading the word....

Saskatchewan Financial Services Commission Issues Temporary Cease Trade Order

I received a response to my complaint with the Saskatchewan Financial Services Commission today.

The Saskatchewan Financial Services Commission (SFSC) issued a Temporary Cease Trade Order on June 23, 2009, against Shire International Real Estate Investment Ltd., Hawaii Fund, Maples and White Sands Investment Ltd., Shire Asset Management Ltd., (Shire), and Jeanette Cleone Couch (Couch). The order expires on July 7, 2009, and may be extended.

Please see the full Government of Saskatchewan news release, dated June 23, 2009, here:
http://www.gov.sk.ca/news?newsId=76c6d03f-dbd3-4c99-b824-3fd7999ab8f7

After the Chemainus Meeting

I attended the Chemainus meeting last night. There were well over 100 people in attendance. An executive committee was appointed at the meeting to move their efforts further. I don't really have any new information to report at this time, but am moving forward with legal representation. Please stay tuned for more information.

Of course, joining my investor group will ensure that you receive email updates on important information as it becomes available. You don't have to join any type of legal action to be a member of the investor group.

BTW - I don't send out little notes like this one by email.

Will there be a general shareholders meeting???

I've been asked by several people about getting together a general shareholders meeting. One is in the works! Stay tuned.

The meeting on Monday night is a Chemainus shareholder meeting.

First hate mail

Not surprising, I received a nasty email last night from someone claiming to be an investor but hiding behind an anonymous email. Calling names won't do anyone any good and I won't respond to emails like that. Delete!

ASC Request for Investor Statements

I had a great conversation with ASC Investigator Vi Pickering yesterday. She is asking for our help. If you would like to help, she is looking for statements and documents from investors.

Here is how you can help:
Write a chronological statement of your Shire investment story
Provide copies of all documents especially any copies of documents you signed and copies of cheques and/or bank drafts. If you do not have copies of cheques, you can contact your bank and request copies. Please send Vi copies of both sides of any cheques and drafts.

What to include in your statement?

1. As much as you remember.
2. How did you first hear about Shire?
3. Who did you meet with? What was their position? Did you meet them at Shire’s offices or another location?
4. What was it that led you to making the decision to invest? The marketing materials, the OM, the representative, friends who also invested, something else?
5. When did you pay for the investment – before or after you received your OM?
6. How long did you have to review the OM?
7. Did you sign any documents about risk or any other documents? Were you given copies of those documents?
8. Have you received any Interest payments, dividends, or payouts? When? How much? Give copies of docs if you have them.
9. What kind of updates have you received since investing?
10. What other correspondence or communication have you had since investing?
11. Did you ask for your investment to be redeemed? If yes, what happened?
12. Did you start to question your investment security at any time? If yes, why and what happened?
13. Anything else you can think of.

Where to send this info:
Vi Pickering – ASC Investigator
email: vi.pickering@asc.ca
phone: 403-297-7745

If you are comfortable sending this info to me also, I will forward it to our lawyer Mr. John Blair. You can also send it to Mr. Blair directly at: jblair@blgcanada.com.

Vi Pickering is also available to answer questions you may have regarding this matter. You can reach her by email or phone as above.

Chemainus Shareholder Meeting - June 22 @ 7:30pm

Some of you already have this information but I want to ensure that it gets out to everyone. Chemainus Properties Ltd. will be hosting a shareholders meeting:

Monday, June 22, 7:30 pm
Crowchild Twin Arenas
185 Scenic Acres Dr. NW
2nd floor
(access also available from Nosehill Dr. southbound)

I will do my best to also attend this meeting so that investors get a chance to meet me. Please note that this is not a general Shire International shareholders meeting but a meeting for shareholders in Chemainus Properties Ltd.

If you have questions regarding this group, please contact Tim Walsh at timw@bestalbertabiz.com.

I will continue to support all efforts going forward for all groups and will continue to represent all groups in my efforts. Please continue to pass on my information and encourage investors to contact me.

Bearspaw Land Title

You can view the title to the Bearspaw land here. It appears that there are two mortgages and an action for its foreclosure.

A BLOG!!!

Ok, one investor had the great idea of suggesting that I create a blog. Its something I've thought about over the last few days but have been too busy to create! Thanks to that investor for suggesting it and for spending so much time with suggestions and leg work to help me get my butt going. Its taken a few hours to setup tonight (Its almost 11pm) but its up to date. This should hopefully help save me from re-sending information out to new investors and give each of you a central location for documents etc.

I will still be sending out information and it is imperative that people continue to send me their contact information so that I can compile a complete investor list. Please continue to spread the word and my email address - investor@telus.net.

ASC Interview Transcript

I received this interview transcript last night and sent it out to the investor group today. It gives excellent detail and insight into the situation.

Moving forward with legal action

I''ve reached 48 so far representing atleast 4.4million invested. There are 16 people on my list who haven't yet told me the projects and amount they have invested so technically I've reached more. Hopefully I can get in touch with everyone to determine amounts invested soon!

I sent this letter out to the investor group today:

----------------

Dear Shire Investors,

I have had sufficient interest at this time to move forward with group legal action. Being on my investor list does not require you to join this action. I will continue to provide accurate information to all investors.

For those of you interested in pursuing the legal option, here is where I am at:

1. I have retained counsel of Mr. John Blair of Borden Ladner Gervais. Mr. Blair is recognized as one of the best securities lawyers in Alberta. He has significant experience in this type of case and regular interaction with the ASC. His bio can be found here: http://www.blgcanada.com/home/our-professionals/B/Blair-John

2. It is important that we establish a couple of point people to interact with Mr. Blair who will ask questions on behalf of the group and then disseminate information to the group. This keeps legal costs low by making good use of Mr. Blair’s time answering questions once instead of spending hours answering the same questions to dozens of individuals. I have taken on this responsibility thus far. I would be happy to be one of the point people going forward but am looking for someone else to step forward at this time as I am a new mom on maternity leave.

3. Mr. Blair’s retainer is $7500 at this time. If you are interested in moving forward, I will be asking you to assist in paying a portion of the retainer. To facilitate this, we will have to work out a trust account situation of which the details I am just learning about. I’ll be talking with Mr. Blair a little more about how we set this up as I don’t want anyone to send me money directly. I will also send each investor interested in legal action forms to sign to indicate that you accept Mr. Blair as your representation in this matter and that you accept myself and/or any others as the administrative point person for the group. Again, I would be pleased if someone would like to step forward to assist me.

4. Legal fees will be allocated to investors who move forward with legal action according to the amount invested in relation to the total amount invested by the group. For example, if you invested $75,000 as I have and the group legal action represents $3,000,000 then my contribution to the $7500 retainer would be $187.50. If your investment was $10,000 in this scenario, your fees would be $25 at this time. The more interested parties going forward means lower fees for all.

At this time, I am asking you to indicate:

1. Your interest in moving forward with retaining Mr. Blair as your legal representation
2. Your consent to sharing your contact information and investment information with Mr. Blair
3. The amount invested and in which projects if you have not already shared this information with me. I will be asking you at a later date for documentation.
4. Your support and assistance in moving forward if you would like to volunteer in sharing the load of my efforts.

Moving forward with retaining Mr. Blair as our counsel and filing a group statement of claim is no guarantee that you’ll recoup your investment. This is the first step of many in determining what and if may be recoverable. We may determine that it is worthwhile going forward through the entire process or we may come to a decision to abandon legal action at anytime during the process. It is not a matter of whether investors would win a claim at this time, but rather what capital may be recoverable as a result of a judgment in our favor.

Time is of the essence, so please get back to me as soon as possible. Also, please pass this information on to any other Shire investors that you may know.

CTV News Coverage and ASC Affidavit

Tuesday, June 16, 2009

Its been a busy day. I've been getting in touch with quite a few investors already. And then I got in contact with Lea Williams-Doherty from Calgary CTV News. She is doing a piece on Shire today and is looking for investors to interview. Could she come to by house in an hour??? Oh sure, why not. Clean clean clean. :o) I've also had to create a dedicated email address - investor@telus.net - to keep this all separate from my personal email.

Lea Williams-Doherty is amazing. She's very thoughtful and courteous as is her camera man. I think she did a fantastic job covering this story so early on. I hope she will continue to follow the story and do an update in the future. You can read her story, see her coverage, and hear about my story here. She's also posted my email address investor@telus.net to encourage others to contact my investment group.

Shortly after the news team left my home, I received this Alberta Securities Commission Affidavit from Mr. John Blair. Please read it and it will give you a clear understanding of the allegations made by the ASC to support their cease trade order.

Extended Interim Cease Trade Order

Monday, June 15th, 2009

I received this letter from Shire indicating that Shire and the ASC agreed to a new hearing date. I called the Alberta Securities Commission to get the facts regarding the delay.

Tuesday, June 16th, 2009

I missed the phone call from the ASC but this is what I was told about the hearing on my voice mail:

The hearing for Shire has been cancelled. A cease trade order has now been put into effect and will remain in effect until such time the allegations are dealt with. And both sides have agreed to wave the hearing regarding this matter and proceed directly to a cease trade order.

First meeting with Mr. John Blair

Monday, June 15

I met with Mr. John Blair today at Borden Ladner Gervais. It sounds like the best course of action is to get in touch with lots of other investors to coordinate a group lawsuit. This is sounding to be a bigger deal that I ever imagined and its best to get in touch with as many investors as possible.

Mr. Blair is going to get some information from the ASC to help determine if there is enough to move forward with legal action.

The ASC hearing is tomorrow. I've continued posting in more locations to try to meet other investors.

Here is the letter I sent out to Shire investors that I've met so far:

Dear Shire Investor,

Today I met with Mr. John Blair, Sr. Partner at Borden Ladner Gervais. At this time, he feels that a group law suit as a torte for misrepresentation is the best course of action rather than individual law suits or a class action suit. (A group law suit represents the individuals that come forward in the suit whereas a class action suit would represent all Shire Investors) He has not asked me for a retainer at this time and is proceeding with further investigation:

We will know more once the ASC hearing goes ahead at 2pm tomorrow. It is likely that a permanent cease trade order will be put in place against Cleone Couch, Shire International, Shire Asset Management Group, and other associated companies.
Mr. Blair has requested the ASC Affidavit for detailed information on the alleged fraud and misrepresentation. He could receive it as early as tomorrow or as late as Friday.
Mr. Blair will be doing further investigation which may or may not include running property searches etc.
Mr. Blair will be reviewing my OM’s for Fort McMoney Properties Ltd. and Halama Gardens Ltd.

Mr. Blair will be in touch with me later this week at which time we will discuss the merits of proceeding. I will update you again after our next discussion.

Further, with regards to the Chemainus group, a lawsuit would provide further ability to take over the Chemainus project. Also, there may not be sufficient funds/potential in the Chemainus project to recoup your investments. A dual course of action could be your best option – take over the project and join the group lawsuit. Again, I am not looking for commitment at this time.

As we are still investigating, I am still collecting names of investors and there is no commitment on your part to join the lawsuit. I am simply trying to get together a list of investors to send out updates and if is determined that there is sufficient grounds to go forward with a lawsuit, I’ll ask for commitments from interested parties at that time only. Unlike the Chemainus group, I will be acting as the point person for this potential group lawsuit and sending out emails with a BCC to the group to maintain confidentiality as I have been asked to do this by many of the people who have contacted me so far.

Please pass my name and contact information along to any other Shire investors that you may know of and encourage them to contact me so that I may add them to my investor list and send them updates as well.

For more information regarding Mr. Blair, please see his bio here:
http://www.blgcanada.com/home/our-professionals/B/Blair-John

Redemption Denied - Money invested in projects and lands...

Wednesday, June 10, 2009

I received an email from Luree Williamson at Shire today indicating that my investments could not be redeemed. I was not eligible to redeem my investment until the projects were complete and the funds were invested in the projects and lands. The OM for Halama Gardens indicates otherwise. I called the ASC Public Inquiries phone number to find out if the cease trade order prevented Shire from redeeming my investment and was told: If Shire agrees to redeem an investment, they will need to advise the ASC and receive approvals to redeem. However, Shire is not prevented from redeeming my investment. Hmm...

A phone call from the ASC

Monday, June 8, 2009

I received a phone call from the Public Inquiries contact at the ASC today. The two companies I'm invested in are not named in the cease trade only because the projects are now closed and Shire would not be going to the public to raise additional funds for the projects.

That sounds like bad news to me. Waiting to hear back from Shire. I called my Shire representative and left a message asking for an update on my letter. He told me that redemption requests were currently with Shire's lawyer but he didn't think we could receive a redemption because of the cease trade order in effect.

A Cease Trade Order Against Shire??

Friday, June 5, 2009

I received a letter from Cleone Couch at Shire International Real Estate Investments Ltd. today and emailed my Shire representative to request a redemption of my entire investment. He instructed me to send him signed letter requesting the redemption.

The Alberta Securities Commisson interim cease trade order can be found here. The ASC Public Inquiries phone number is 1-877-355-4488.