Court approves $32.5M settlement in Sino-Forest class-action lawsuit
The Canadian Press
Published Wednesday, November 11, 2015 5:31PM EST
TORONTO -- The Ontario Superior Court of Justice has approved a $32.5-million settlement in a class-action lawsuit filed by investors who lost money when Sino-Forest Corp. collapsed in 2012 amid allegations of fraud.
Several Canadian banks and other financial institutions that helped the Chinese forestry company raise millions on the financial markets agreed to the settlement back in January.
The agreement does not include any admission of wrongdoing.
The case alleged that directors, officers, auditors and underwriters at Sino-Forest used misleading accounting tactics to defraud investors.
The allegations have not been proven in court.
The settlement includes Credit Suisse Securities (Canada) Inc., TD Securities Inc. (TSX:TD), Dundee Securities Corp., RBC Dominion Securities Inc. (TSX:RY), Scotia Capital Inc. (TSX:BNS), CIBC World Markets Inc. (TSX:CM), Merrill Lynch Canada Inc., Canaccord Financial Ltd. (TSX:CF) and Maison Placements Canada Inc.