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Ontario’s securities watchdog says that the late founder of collapsed cryptocurrency exchange QuadrigaCX, Gerald Cotten, ran the company like a Ponzi scheme, engaging in fraudulent trading that created substantial losses for its users.
The findings by the Ontario Securities Commission, made public yesterday, put to rest speculation that millions of dollars were stashed away in Quadriga’s cryptocurrency wallets and could have still been recovered if only someone other than Mr. Cotten had known the passwords to access them.
After he died, he had left more than 76,000 clients – 40 per cent of them in Ontario – owed a combined $215-million. Bankruptcy trustee Ernst & Young was able to recover only $46-million, resulting in a shortfall of $169-million.
- If you don’t know the story of Quadriga, you should first read how the shady ventures in Gerald Cotten’s youth led to the creation of his ill-fated cryptocurrency exchange.
- A month after The Globe published that story, the lawyers for Quadriga customers asked the RCMP to exhume Mr. Cotten’s body, and conduct an autopsy given the “questionable circumstances” surrounding his death and the significant financial losses incurred by users.
photo illustration of Gerald Cotten, Quadriga.
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B.C. records its deadliest month for illicit drug overdoses in May
As the province cautiously lifted restrictions having flattened the coronavirus curve, a record 170 people died of overdoses, largely from “extreme” fentanyl concentrations in the drug supply, according to a BC Coroners Service report released Thursday.
That represents a 93-per-cent increase over May, 2019. B.C. chief coroner Lisa Lapointe called the grim tally “tremendously disappointing” in light of the measures the province has implemented over the past several years.
On the anti-racism movement: what you need to know today
- RCMP video shows use of force against Chief Allan Adam: Chief Adam had alleged in an interview with The Globe and Mail last week that he was beaten by RCMP officers and his wife was manhandled after they left a popular casino-night club in Fort McMurray on March 10, an incident of police violence, he argued, that happens too often to Indigenous people.
- Systemic racism in the RCMP: RCMP Commissioner Brenda Lucki is facing a barrage of criticism for saying there is no systemic racism in the national police force, as the Prime Minister and leaders of Indigenous and Black groups vowed to overcome institutional resistance to change.
‘She was sunshine’: Private funeral service held for Chantel Moore in New Brunswick
A private funeral service for Chantel Moore, 26, was held in the New Brunswick community where she had moved three months ago to be near her mother and six-year-old daughter.
“We remember your gentle face and warm smile,” said Mary Martin, Ms. Moore’s grandmother. “You always had a kind word for everyone around you.”
‘I want people to know she’s more than a hashtag’: Family remembers Regis Korchinski-Paquete
From an early age, Regis had questions about race. Her dad was a direct descendant of Ukrainian settlers and her mom was Black with Mi’kmaq ancestry. “I’m white and she’s darker than all my other kids, so she’d ask ‘What’s that all about?’ ” her father, Peter Korchinski said.
“It’s tough to hear her name, but it’s also helpful,” Mr. Korchinski said. “I’ve seen the mayor and the police chief just refer to her as a 29-year-old woman. Her name is Regis. Just say it. Just say it.”
On May 27, his daughter, Regis Korchinski-Paquet, fell from a 24th-floor balcony in Toronto while in the company of police who had been called to help her. The province’s police watchdog is investigating.
Peter Korchinski, centre back, along with his three children, Shyna Beals, left, Reece Korchinski and Renee Korchinski Paquet, left, helps carry his daughter Regis Korchinski-Paquet's casket to a hearse after her funeral in Toronto, Thursday, June 11, 2020. (Galit Rodan/The Globe and Mail)Galit Rodan/The Globe and Mail
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ALSO ON OUR RADAR
Bell launches 5G service in five major cities: The first stage in the company’s roll-out will allow customers with 5G-capable phones in the Greater Toronto Area, Montreal, Vancouver, Calgary and Edmonton to access the service. The full benefits of 5G won’t be realized until later stages.
White grizzly bear in Banff draws crowd: People have started to pull onto the side of the Trans-Canada Highway that runs through the Banff park to see it with their own eyes. While grizzly bears can range in colour, a white one is almost unheard of.
Deputy PM defends minister’s bank of China mortgages: Foreign Affairs Minister François-Philippe Champagne disclosed two mortgages held by the state-run Bank of China to “all relevant agencies” and that is all the transparency Canadians require about the financial arrangement, she said.
MORNING MARKETS
European shares gain after Wall Street rout: Shares rose in Europe on Friday after a day of losses in Asia following Wall Street’s sell-off on worries over a possible second wave of coronavirus cases. Around 6 a.m. ET, Britain’s FTSE 100 was up 1.07 per cent. Germany’s DAX and France’s CAC 40 gained 1.25 per cent and 2 per cent, respectively. In Asia, Japan’s Nikkei ended down 0.75 per cent. Hong Kong’s Hang Seng lost 0.73 per cent. New York futures were higher. The Canadian dollar was trading at 73.88 US cents.
WHAT EVERYONE’S TALKING ABOUT
It might seem it’s all over for Donald Trump. But the President isn’t finished yet
Gary Mason: “The election is five months away, which is an eternity, especially in a world in which Mr. Trump is president. So much remains to be seen.”
Where we stand: Diversity and inclusion must be the chief executive’s responsibility
Dax Dasilva: “If that person doesn’t have regular meetings with the CEO then that is tokenism, it is a meaningless function. The CEO has to be quite involved in order to really move the needle.”
TODAY’S EDITORIAL CARTOON
By Brian GableBrian Gable/The Globe and Mail
LIVING BETTER
Full Stream Ahead: summer-ready thrillers to stream this June 13-14 weekend
- Knives Out, Amazon Prime Video: There are few pleasures as great as watching Rian Johnson reveal the secrets of his postmodern murder-mystery – listening to Daniel Craig sound like he’s delivering monologues dripped in molasses might be up there, too.
- The Invitation, Netflix: Director Karyn Kusama’s 2015 low-budget film flew way too far under the radar when it was first released, but now that Netflix has given it a healthy second life, more audiences are discovering its panic-inducing vibes.
- Eastern Promises, CBC Gem: The Canadian streamer continues to surprise and impress, as it now counts a good amount of the David Cronenberg canon among its free-to-view titles.
MOMENT IN TIME: June 12, 1923
Edmonton Commercial Grads Basketball Team, First winners of Underwood International Trophy. Left to Right: Eleanor Mountifield (Captain), Connie Smith, Abbie Scott, Dorothy Johnson, Nellie Perry, Winnie Martin, Elizabeth Elrick, Mary Dunn.Provincial Archives of Alberta
Edmonton Grads win first international championship
Long before the Toronto Raptors became NBA champions, Canada had a team of trail-blazing women who dominated basketball for 25 years, at a time when sport was exclusive to men. On this day in 1923, the Edmonton Grads won their first international championship. It was the start of a reign that made them the pre-eminent female basketball powerhouse of the early 20th century. The Grads won 17 world titles and collected four straight exhibition Olympic titles from 1924 to 1936 (before women’s basketball was officially part of the Games), winning all 27 matches. Constantly in search of worthy competition, they played against men on nine occasions and lost just two games. They tallied an astonishing 502-21 overall record, from their founding in 1915 to their folding in 1940, at the onset of the Second World War. The women attracted sold-out crowds in Edmonton and their victories were reported in newspapers around the world. The players were once celebrated in a parade of 20,000 people, introduced to heads of state and escorted through the Houses of Parliament. James Naismith, the Ontario-born doctor who invented basketball, once referred to the Grads as “the finest basketball team that ever stepped out on a floor.” Rachel Brady
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