A Kelowna man who was sentenced to six years behind bars after executing a ponzi style scheme and defrauding investors out of millions has been permanently prohibited from trading and purchasing any securities in B.C.
Randi Bochinski made a plea agreement with U.S. officials in May of 2013, admitting guilt to three counts of mail fraud, three counts of wire fraud and one count of money laundering.
He was sentenced in U.S. District Court in Boston to six years in prison and ordered to pay millions back to investors who had suffered from the scheme.
This week the B.C. Securities commission ordered that sanctions against Bochinski extend beyond the US and into B.C., barring him from trading, management in the securities market as well as any investor relations activities.
“Our mandate under the act is to protect investors and to promote fair and efficient capital markets,” reads the decision from B.C. Securities Commission.
“The egregious nature of Bochinski’s conduct, as found by the SEC, warrants permanent prohibitions in our jurisdiction.”
The fraud that Bochinski and his partner were convicted of started in 2004 and carried on until 2010. In its height, they pitched a scheme where investors were promised returns, up to 1,000 per cent, in a short period of time. Periodically they would pay returns to maintain faith in the scam, but much of the money was redirected to other purposes, such as their own personal use.
“Bochinksi admittedly participated in a fraudulent scheme involving non-existent securities, that saw him misappropriate millions of dollars in investor funds,” reads the decision.