The Alberta Securities Commission has found that a developer and his companies perpetrated a fraud against investors through an Edmonton strip mall development project.
The ASC announced Friday that a review panel determined Ali Ghani and Summerside Development Trust, Summerside Commercial Trust, Prism Summerside Limited Partnership, Prism Summerside Development Corp. and Prism Real Estate Investment Corporation misappropriated $3.4 million from the development and sale of the property in Edmonton’s Summerside neighbourhood.
“The panel found that proceeds from the December 2017 sale of the strip mall were used for the benefit of other Ghani-controlled businesses and entities without authorization or disclosure to the investors, resulting in a total loss of their investments,” said the ASC.
The ASC’s proceeding will now move into a second phase to determine whether any orders for sanction or cost-recovery should be made against Ghani and the other respondents.
Monte Stewart serves as Content Director - Canada for Connect Commercial Real Estate.
Based in Vancouver, British Columbia, Monte provides daily news coverage of major Canadian commercial real estate markets, including Vancouver, Toronto, Montreal and Calgary. He has written about the real estate sector for various media outlets and Avison Young since the early 2000s.
In addition, he has covered sports, general news and business for several leading wire services and publications, including The Canadian Press, The Associated Press, The Calgary Herald, The Globe and Mail, Research Money, The Daily Oil Bulletin, Natural Gas World and The Toronto Star.
Monte is active in his community as a youth basketball coach and raises funds for such charitable causes as Movember.