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Special Alerts

SA-189-2005
December 14, 2005


TO: CHIEF EXECUTIVE OFFICER (also of interest to Security Officer)
SUBJECT: Entities That May Be Conducting Banking Operations in
Canada or the United States Without Authorization
Summary: Two entities – Wachovia Direct Lending, Toronto, Ontario, Canada, and Equitable Finance & Securities, Toronto, Ontario, Canada –may be illegally operating as financial institutions.

The Office of the Superintendent of Financial Institutions (OSFI) of Canada has published the attached "Warning Notice" (Issue No. 65), which contains the names of two entities recently brought to OSFI's attention.

The warning notice states that the two entities – Wachovia Direct Lending, Toronto, Ontario, Canada, and Equitable Finance & Securities, Toronto, Ontario, Canada (http://www.equitablesecurities.org) – are not authorized federally regulated financial institutions (Canadian) and may be involved in various advance fee or "Nigerian letter" scams (see also OSFI's Warning Notice No. 23, dated February 2002). These entities, or persons purported to represent them, are reportedly operating in Canada and may be violating provisions of the Bank Act (Canada) or other Canadian financial institution regulations. These entities may also be conducting unauthorized banking transactions in the United States. Any proposed transactions involving these entities should be viewed with extreme caution.

Each "Warning Notice," beginning with Issue No. 1 through OSFI's latest "Warning Notice," may be found at: http://www.osfi-bsif.gc.ca/osfi/index_e.aspx?ArticleID=166.

Information about counterfeit items, cyber-fraud incidents and other fraudulent activity may be forwarded to the FDIC's Cyber-Fraud and Financial Crimes Section, 550 17th Street, N.W., Room F-4004, Washington, D.C. 20429, or transmitted electronically to alert@fdic.gov. Information related to federal deposit insurance or consumer issues should be submitted to the FDIC using an online form that can be accessed at http://www2.fdic.gov/starsmail/index.asp.

For your reference, FDIC Special Alerts may be accessed from the FDIC's Web site at www.fdic.gov/news/news/SpecialAlert/2005/index.html. To learn how to automatically receive FDIC Special Alerts through e-mail, please visit www.fdic.gov/about/subscriptions/index.html.

  Christopher J. Spoth
  Acting Director
Division of Supervision and Consumer Protection

Attachment: Can be found at http://www.osfi-bsif.gc.ca/app/DocRepository/1/eng/consumer/notices/Warning_Notice_65_e.pdf 110k (PDF Help)

Distribution: FDIC-Supervised Banks (Commercial and Savings)

NOTE: Paper copies of FDIC Special Alerts may be obtained through the FDIC's Public Information Center, 801 17th Street, NW, Room 100, Washington, DC 20434 (1-877-275-3342 or (703) 562-2200).




Last Updated 12/14/2005 communications@fdic.gov