Investors Scrutinizing the Regulators

Home Page


Securities Regulation In CanadA

Fox Guarding the Hen House





5 Year Review Committee

 Report on the Ontario Securities Act

Securities Review Advisory Committee

1994 - 2003


As a result of the Securities Amendment Act, 1994, the government was and continues to be required to appoint an independent committee to review the legislation, regulations and rules relating to matters dealt with by the Ontario Securities Commission every five years.

The Minister of Finance's Five Year Review Committee was formed in March 2000.



Picture not Available

Purdy Crawford

William Riedl

Carol Hansell

Counsel, Osler, Hoskin & Harcourt LLP

 President and CEO Fairvest Securities Corporation (Ret'd)

Partner, Davies Ward Phillips & Vineberg LLP

Helen Sinclair

David Wilson

Susan Wolburgh Jenah

CEO of BankWorks

ex - Chair and CEO Scotia Capital

(Now Chair of the OSC)

ex-General Counsel and Director, OSC

(Now President of Investment Dealers Association of Canada)


Janet Ecker

(ex-Minister of Finance)

On May 29, 2003, Ontario Finance Minister Janet Ecker released the Five Year Review Committee Final Report – Reviewing the Securities Act (Ontario). This was the culmination of two and half years of work by the Five Year Review Committee which was established in 2000 to examine Ontario securities legislation and the Ontario Securities Commission (OSC). Chaired by Purdy Crawford, the six-member committee made a total of 95 recommendations, some of which the Ontario government had already implemented based on the committee’s draft report released in May 2002.


Key recommendations in the committee’s final report include:

  • recognizing the distinctive nature of Canada’s capital markets, including the large proportion of small issuers and significant number of companies with controlling shareholders

  • establishing a single national securities regulator

  • continuing to harmonize securities regulation across Canada

  • reviewing the current structure of the OSC as a multi-function agency that performs both regulatory and adjudicative functions

  • increasing oversight of the OSC by undertaking more studies of its operations to determine their efficiency

  • giving the OSC broader powers to make corporate governance rules, which are currently within the domain of the TSX

  • extending to investors in secondary markets the right to sue for misleading or inadequate disclosure

  • streamlining registration requirements for securities dealers and other participants in the capital markets

  • making improvements to the structure of the Investment Dealers Association of Canada, including the composition of its disciplinary panels and its board of directors

  • requiring stock exchanges and other self-regulatory organizations to immediately report to the OSC any activity that appears to violate securities law

  • implementing new remedies for investors, such as the right to go to court directly for an order for restitution or compensation

  • giving the OSC and the courts new enforcement powers.


    Draft Report

    May 29, 2002

    Final Report

    May 29, 2003