Millions of dollars have been recouped from a major Ponzi scheme that had operated in Burnaby.
The B.C. Securities Committee says it's received $4.8 million in penalties from two people who defrauded hundreds of investors.
The payment comes after a court-appointed receiver distributed $6.5 million to 464 people who lost their money investing in "Bossteam E-Commerce."
Bossteam described itself as an online advertising business, but an investigation determined the company was giving investors the false impression that well-known businesses were buying in, the BCSC said.
Most of the money came from bank accounts controlled by the founders of Bossteam, Yan Zhu (AKA Rachel Zhu) and Guan Qiang Zhang.
Zhu and Zhang were found in 2015 to have committed fraud, illegally distributed securities, withheld information from BCSC investigators and instructed employees and investors to withhold information, the commission said.
Zhang was deported to China seven years ago, and Zhu was known to be living in Burnaby in 2017.
Both are banned from activities including trading in securities, purchasing securities or exchange contracts, being a registrant or promotor and engaging in investor relations.
