New Brunswick Securities Commission

Investor alert: Cease trade order issued against First Alliance Management (08/10/29)

NB 1588

Oct. 29, 2008

SAINT JOHN (CNB) - An ex parte temporary cease trade order was issued by the New Brunswick Securities Commission (NBSC) against First Alliance Management Inc. (FAM) and Ted Freeman on Friday, Oct. 24. The order, effective immediately, directs FAM and Freeman to cease trading in all securities, and prohibits the use of any exemptions under the Securities Act.

NBSC staff alleges that Freeman, on behalf of FAM, promoted gold options to a New Brunswick resident. The investigation revealed that Freeman solicited the investor by telephone, e-mail and through the Internet. The investor was also asked to transfer funds to Panama. Staff also alleges that FAM, incorporated in Panama, appears to be related to an entity called Secure One Investment Group, which was ordered to cease trade by the Saskatchewan Financial Services Commission in February 2008. The NBSC investigation revealed that neither Freeman nor FAM is registered in New Brunswick to trade in securities.

"There are qualified investment dealers registered in New Brunswick who can assist with a wide range of investment options, without sending money to a stranger in Panama," said Rick Hancox, NBSC executive director. "Investors should ask a registered professional for advice, and always review any investment opportunity carefully. Don't get pressured into making a rushed decision."

The NBSC issues an ex parte temporary cease trade order where the length of time required to hold a hearing could be prejudicial to the public interest. It expires on the 15th day after its issuance, unless extended by the NBSC. A hearing will be held on Nov. 3, 2008, to determine whether the temporary cease trade order should be extended or made permanent, or if other actions are required.

Anyone who has been contacted by a person acting on behalf of the people or entities listed above should call the NBSC's enforcement division at 1-866-933-2222. All calls are treated confidentially.

08/10/29

MEDIA CONTACT: Michelle Robichaud, communications officer, New Brunswick Securities Commission, 506-643-7045, e-mail: Michelle.Robichaud@nbsc-cvmnb.ca.

08/10/29