The British Columbia Securities Commission (BCSC) is alleging that an Israeli citizen currently living in Vancouver has breached securities laws and made false statements while promoting an investment on Craigslist.
The BCSC alleges that Daveed Zarr (aka Asi Lalky) created a website for Zarr Energy Corp. that offered 20 million shares in the company for $1 per share.
Zarr is not registered to trade securities, and Zarr Energy has not filed a prospectus in B.C.
Zarr advertised the investment on Craigslist, claiming investors would earn a 50% return if they agreed to open a $250,000 foreign exchange trading account and give Zarr trading authority.
Zarr made no mention of risk associated with the investment.
An investigator from the BCSC posing as a potential investor spoke to Zarr, who stated that he was a “professional currency trader” and that investors would earn a 50% annual return. The securities commission said both of these statements are misleading.
A hearing is set for May 28 at 9 a.m.
These allegations have not been proven.
