Friday, September 21, 2012

John Gregory Paterson - Southwestern Resources

Naturally this space must recognize the "accomplishments" of Mr. John Gregory Paterson, former QP and chief dipchit of the horrid scam known as Southwestern Resources.

http://resourceclips.com/2012/09/18/geologist-faces-jail/

"The former head of gold exploration company Southwestern Resources faces a possible 10-year prison term, the Vancouver Sun reports. John Gregory Paterson, who was the company’s president, CEO and largest shareholder, pleaded guilty to four counts of fraud involving false assay results from the Boka Gold Project in China. A sentencing hearing is underway in Vancouver."

"Paterson scammed shareholders from May 2003 to February 2007, when he issued 25 press releases reporting 446 assay results—of which 433 were fictional. Paterson was the qualified person who signed off on the phoney numbers."

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"Former Vancouver geologist and mining executive John Gregory Paterson, who created and distributed hundreds of bogus assay results to boost the share price of Toronto Stock Exchange-listed Southwestern Resources Corp., has pleaded guilty to four of nine counts of fraud.

Paterson, 62, entered the guilty plea through defence lawyer Rod Anderson on Monday morning, just before an 83 day trial was scheduled to begin in Vancouver Provincial Court.

http://www.vancouversun.com/business/Former+Vancouver+geologist+pleads+guilty+massive+assay+fraud/7257815/story.html
While not looking too good for Mr. Paterson now, things stand to get considerably worse if the prosecutor gets the 10 year custodial sentence he is after.

While sounding excessive for a white collar crime, one could argue that manner of kid glove treatment for securities reprobates over many years is exactly the type of environment that enboldens men like Mr. Paterson. Sooner or later an example needs to made to deter others. It is this opinion that that time has arrived.