The British Columbia Securities Commission (BCSC) issued a notice of hearing yesterday alleging that a woman licensed to sell life insurance committed fraud.
The BCSC alleges that Lynne Rae Nickford, also known as Lynne Rae Zlotnik, perpetrated a fraud on investors when she transferred approximately $1.3 million of investor money to her personal account.
Nickford, who lives in B.C., was licensed to sell life insurance until her licence was revoked in April 2010.
The BCSC alleges that between January 2009 and March 2010, Nickford raised approximately $2 million from 13 investors by issuing approximately $1.4 million in promissory notes in the name of her company, Lynne Zlotnik Wealth Management. The regulator further alleges that Nickford transferred $1.3 million into her personal account and used that cash to pay personal expenses such as food, clothing and rent.
None of the allegations have been proven in court. A hearing is scheduled before a panel of commissioners on September 18.
