By Medicine Hat News on February 15, 2020.
Authorities say that 11 Albertans, including at least one in Medicine Hat, were defrauded of a total of $2 million after lending money to man who had been barred from trading securities.
Nicholas (Nick) John Felgate, of Rockyview County north of Calgary, has been charged by the Alberta RCMP and Alberta Securities Commission with eight counts of fraud over $5,000 and one count of money laundering, the ASC announced Friday.
He was scheduled to make a first appearance in Calgary Provincial Court that morning. The allegations have not been proven in court.
Authorities say that between early 2015 and June 2018, Felgate engaged 11 investors in Calgary, Airdrie, Camrose, Killam and Medicine Hat areas. From them he solicited and arranged promissory notes or similar dealings despite an order restricting him from certain financial transactions.
The ASC issued a cease trade order against Felgate in March 2018, stating it had concerns barring him from trading securities
Last February, the Alberta Securities Commission launched an investigation alleging he had secured $380,000 from a “vulnerable” senior citizen and used the cash to pay off debts and for personal use. In another case publicized at that time, $300,000 was forwarded to Felgate by a different person with instructions to “invest” the funds, the ASC alleged.
A hearing was scheduled for November 2019, but a decision by ASC panel is listed as pending.
A joint release from the ASC and Joint Serious Offence Team states that the six police agencies aided in the investigation which led to the charges laid this week.
The ASC and RCMP are seeking to speak with any investors who were solicited by Felgate. The ASC Public Inquiries can be reached by calling 1-877-355-4488.