A blog I have been following lately, M.K. Braaten has posted a fantastic dig which outlines a possible Insider trading issue relating to a company started owned by Paul Martin’s Former Current Doctor, Mediasys Inc. Trading volume on the Income Trust skyrocketed the day before Ralph Goodale’s Nov. 23rd annoucement that the government would cut the tax on dividends and not impose a new tax on income trusts.
By the way, who owns Medisys? Well, when they converted into an income trust in November 2004, 45% of the issued and outstanding shares were owned by directors and senior management at Medisys.
Who are these people? One is former Liberal Senator Leo Kolber. Leo Kolber has donated nearly $60,000 to the Liberals since 1993, including $17,500 in 2002 through his company 87215 Canada Ltd.
Seems the trading volume shot up 3200% the day before, with trades (despite reports of negative trends and prospecti) picking up 200,000 shares above the average 5k/day. Seems to me like an ‘inside’ tip got leaked to too many people.
[Thanks! to David W for the corrections!]
A minor clarification…Medisys is not owned by Paul Martin’s “former” physician. The owner, benefactor, is Paul Martin’s (and all of the CSL Executives) present physician who owns this chain of private medical and imaging clinics across Canada.
Comment by David W. — December 11, 2005 @ 12:12 am