Gary, the key here is that the "protection of the investor" comes first under the securities laws of the great nation of the United States, it doesn't mention for the betterment of insiders and management. I'll ask my buddies up north to explain the Canadian laws regarding investor protection....
It shall be unlawful for an issuer which has a class of equity securities registered pursuant to Section 12 of this title, or which is a closed-end investment company registered under the Investment Company Act of 1940, to purchase any equity security issued by it if such purchase is in contravention of such rules and regulations as the Commission, in the public interest or for the protection of investors, may adopt
to define acts and practices which are fraudulent, deceptive, or manipulative, and
to prescribe means reasonably designed to prevent such acts and practices.
Such rules and regulations may require such issuer to provide holders of equity securities of such class with such information relating to the reasons for such purchase, the source of funds, the number of shares to be purchased, the price to be paid for such securities, the method of purchase, and such additional information, as the Commission deems necessary or appropriate in the public interest or for the protection of investors, or which the Commission deems to be material to a determination whether such security should be sold. |
