Investor Alert for Stearn House Trading
The Nova Scotia Securities Commission is alerting Nova Scotians that Stearn House Trading and representatives operating under the names Michael Schwartz, Evan Donovan and Tom Bennett are not registered to trade in securities or derivatives in Nova Scotia.
Stearn House claims to be a full-featured online trading platform for major investments, including contracts for difference in various cryptocurrencies. It claims to be located at 250 Yonge St., Toronto.
At least one Nova Scotian investor lost money after opening an account with Stearn House. This investor believed they were investing in cryptoassets. Requests to return funds and make withdrawals from their account have been ignored by Stearn House.
The Commission urges Nova Scotians to exercise extreme caution when dealing with firms that are not registered in Nova Scotia. People who have had contact with Stearn House or have been approached with an investment opportunity they believe may be fraudulent, should contact the commission or the securities regulator in their jurisdiction.
Quotes:
“Always take time to verify registration and perform online searches for entities and any affiliated representatives prior to investing. While the internet can be a dangerous place to shop for investments, it can also be a vital asset to determine the legitimacy of an operation. Reviews, alerts, warnings, complaints and other useful information can be found online and may save you from irreversible financial loss. Remember, the basis of any scam is telling people what they want to hear. If it seems too good to be true, it usually is.”
– Stephanie Atkinson, Director of Enforcement, Nova Scotia Securities Commission
Quick Facts:
- it is illegal to solicit investments in Nova Scotia without registering with the commission and complying with Nova Scotia securities laws, unless an exemption applies
Additional Resources:
File a complaint or report a scam to the Nova Scotia Securities Commission: https://nssc.novascotia.ca/recognize-and-report-scam
To see if a company or person is registered, check the Canadian Securities Administrators’ National Registration Search at https://info.securities-administrators.ca/nrsmobile/nrssearch.aspx
Contact information for Canadian securities regulators:
https://www.securities-administrators.ca/about/contact-us/