I am delighted to attach a copy of the decision of The Court of Appeal of Alberta. To revisit a little history, as CEO of FIC Group of Companies, I initiated an internal investigation of John Tansowny as VP of Real Estate for concerns regarding his conduct related to representing the fiduciary responsibilities and obligations of shareholders.
There were many improprieties that caused me concern and I hired an outside representative to assist in the investigation. Once the investigation began John Tansowny took several steps to try to stop the investigation and these steps hurt FIC Shareholders.
First, he wrote letters to the BC Securities Commission discussing why our assets should be seized and made numerous false allegations with respect to management conduct. Unfortunately, Tansowny’s unfounded and unsubstantiated allegations caused FIC assets to be frozen by the regulators, causing an unfair and unexpected decline in portfolio value, causing harm to the company and its shareholders.
Second, Tansowny wrote letters to TD Bank advocating for our 8 digit loan to be “called” and he consistently and substantially interfered with our attempts to improve our financial health and deal with crucial financing needs. This loan was the life blood of FIC’s existence and continued operations with our Real Estate Projects.
Third, when FIC entered receivership he lobbied and did all possible to try and keep FIC in receivership. His motivation had nothing to do with the best intentions for FIC Shareholders and in fact he badly hurt the shareholders he was supposed to assist by undertaking these actions.
His purpose was to try and destroy FIC so that it would not have the capital or the ability to pursue him for his misdeeds. He was concerned FIC Management would discover what he had done and he knew he would have huge exposure and enormous consequences if FIC Shareholders ever found out the truth.
Many years have passed and FIC Management has not given up. Earle and myself have fought to hold Tansowny accountable. I invite you to read the attached decision by the Supreme Court of Alberta.
I further will elaborate that we have every intention of pursuing John Tansowny further and have an ongoing action against him that we are confident will yield positive results.
Here are just a few comments written by the Judge:
“I start with Tansowny, whose version of events was unburdened by any need to reconcile or distinguish between his vested interest in the outcome and the events as they actually occurred. Overall, I found his testimony to be glib, facile, and dismissive of any real basis for dispute..and I find that his assertions at trial openly in favor of Phoenix simply do not withstand scrutiny.” (remember members he was VP President of Real Estate for FIC and at trial worked against all FIC interests.)
Further the judge wrote, “Tansowny’s credibility was further tarnished by the internal inconsistencies in his testimony. His evidence directly conflicted with the evidence that he has earlier sued FIC for real estate commission in relation to its purchase of that property. His evidence were unreliable assertions driven by his own interests in the outcome of the litigation.”
After all these years Earle and myself have continued to work through these cases spending countless hours and on my end never with any form of compensation. I am aware the accountability often falls upon the CEO of a company but I thought it is important after all these years that the truth comes out and John Tansowny actions are exposed for all to see.
Let me assure all former FIC Investors that I will continue to pursue Mr Tansowny and as you read through this final decision by the court understand that I will pursue Mr Tansowny to the fullest extend so members will understand the full story.
John Tansowny continues to live in Edmonton and work with Dennis O’Dowd who the judge wrote equal condemnations.