Vancouver resident defrauded investors of millions of dollars, alleges BCSC

Paul Se Hui Oei, a director and president of multiple companies in British Columbia, defrauded investors of millions of dollars and used the money for...

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Paul Se Hui Oei, a director and president of multiple companies in British Columbia, defrauded investors of millions of dollars and used the money for personal expenses, according to allegations by the British Columbia Securities Commission.

Oei raised $13.3 million for Cascade, an entity consisting of two companies: Cascade Renewable Carbon Corp. and Cascade Renewable Organic Fertilizer Corp., through 64 separate investments. Investors were told the proceeds, which were raised between July 2009 and November 2012, were to go to Cascade’s startup costs.

Less than half of the money raised—$6.4 million—was forwarded to Cascade, alleges the commission. The remaining $6.9 million went to his personal bank account, bank withdrawals, credit card payments, luxury car rentals and payment of expenses for one of his businesses.

Oei raised the funds using his own companies—0863220 B.C. Ltd., 0905701 B.C. Ltd. and Canadian Manu Immigration and Financial Services Inc.—of which he is director and president.

Oei then approached the same investors to raise capital for a new company, Organic Eco-Centre Corp. (OEC), telling them if they paid a 15% premium on their Cascade investments, he would transfer their investments to OEC. He raised an additional $202,000 from 18 investors between June and August 2013.

None of the allegations has been proven.

ecrawford@biv.com

@EmmaHampelBIV