Decision in brief: Ontario Securities Commission v Drage, Enforcement Proceeding, Settlement, January 16, 2026

In this enforcement case, the OSC says that Claire Amanda Drage, through two companies that she owned and controlled, broke Ontario securities law by committing fraud and by selling securities without being registered to do so and without filing a prospectus (a document that gives investors information about the investment) for those securities.

The money from the securities that Drage and her companies sold to investors was used to fund real estate projects by developers across Ontario. Drage falsely told investors that the developers and projects were financially successful and likely to repay the money. Drage and her companies are bankrupt, and about 450 investors are still owed about $90 million.

Drage and the OSC agreed to settle the case. In this hearing, the Tribunal found that the proposed settlement was reasonable and in the public interest and approved the settlement agreement.

Drage is permanently banned from Ontario’s capital markets, except for limited trading in certain registered accounts.

There are no financial sanctions in this settlement. But for Drage’s cooperation and unique circumstances, the Tribunal would not have approved the settlement unless it included an order that Drage disgorge (give up to the OSC) the funds illegally obtained from investors. That order would have survived Drage’s bankruptcy because she committed fraud. Some investors have also sued Drage to get their money back and it is not desirable to have a disgorgement order that could compete with investor recovery.