Ayaz Dhanani, shown here in a photo on Facebook, has been sentenced to prison for financial fraud following the BC investigations. Securities and Exchange Commission and the Vancouver Police Department.
A Vancouver financial fraudster, convicted of selling fake investments to several people, was sentenced to 13 months in prison this week, according to the BC. Securities Commission.
That means Ayaz Dhanani, 38, was sentenced in a provincial court for a total of three years in 2018 for financial fraud against five victims. This is a rare prison time in British Columbia for a financial fraudster.
Dhanani was also ordered to provide a sample of his DNA.
He pleaded guilty in October for fraud of more than $ 5,000 and for three a.C. Offenses of the Securities Act.
In August, Dhanani pleaded guilty to four counts of fraud of more than $ 5,000 and violations under the securities law, including disobeying a BC. Order of the Securities and Exchange Commission against trading, failing to submit a prospectus (a formal document that provides details of an investment) and mislead investors.
Dahnani – who is also known by several nicknames, including Azim Virani and Samuel Ramos – received a 23-month sentence for the August offenses.
The court also ordered Dhanani to pay $ 194,568 in restitution.
The convictions follow investigations from BCSC's criminal investigation division and the Vancouver Police Department. An investigation by VPD also resulted in a $ 5,000 fraud conviction for Dacheng Wan, who received a two-year probation and was ordered to pay $ 65,570 in restitution. Wan was involved with Dahnani in a fraudulent real estate transaction.
"Dhanani took advantage of people's lack of knowledge about investments," said Peter Brady, BCSC's chief executive, in a written statement. "He made promises about business or opportunities that simply did not exist."
Previously, BCSC sanctioned Dhanani for fraud under securities law and ordered him to pay a fine of $ 225,000 and pay $ 188,800 in fraudulently raised funds.
In 2016, a BCSC court found that Dhanani defrauded three investors when it received money in a "scheme" involving alleged sales of shares in gold and oil mining companies. Dhanani has repeatedly approached potential investors with a number of allegedly profitable investment opportunities with resource companies, the commission found, but in fact there were no companies or stocks.
In 2017, Dhanani returned $ 120,000 to the BCSC that was handed over to the victims.
A 2017 Postmedia investigation found that, in the past decade, police investigations and criminal prosecution of investment fraud in British Columbia were rare.
The investigation also found that the BCSC investigation team's cases are lower and involve fewer victims and smaller amounts of money than the commission has been seeking in court resulting in unpaid monetary penalties.
Dhanani has previously had previous felony convictions for theft and fraud of more than $ 5,000 dating back to crimes in 2010 and 2011.
And he is scheduled to go to trial next year with more criminal charges after the VPD investigation. In January, he faces charges of kidnapping, illegal confinement, identity theft and unauthorized use of credit cards. In May, Dhanani faces a charge of extortion.