CALGARY – The Alberta Securities Commission is accusing a Calgary man of defrauding investors looking to buy shares in Facebook’s initial public offering out of more than $1.5 million.
Securities commission officials have issued a notice of hearing for Nelson Peter Bradbury.
They allege he lied to investors about his having an inside track on Facebook Inc. initial shares, how he intended to use their money and how he’d be paid.
They also allege Bradbury converted investment funds for his personal use, used them to pay returns to other investors and provided false records.
Bradbury is also accused of handling investment contracts without proper registration and without a prospectus or exemption.
None of the allegations has been proven.
A hearing is to take place next February in Calgary.
Facebook went public in May 2012 with a market value of more than $100 billion. The price per share was $38.
The current stock price for Facebook shares sits at about $106.