A federal penitentiary is the next destination for Adelia Kaminsky following her sentencing Wednesday for defrauding a number of investors over a period of seven years.
Judge Dan O’Hanlon sentenced Kaminsky to four years in jail, and also ordered restitution be paid in full to the 10 investors defrauded, in the amounts owed to them.
Kaminsky was present in court, and was taken into custody immediately upon sentence and led away in handcuffs.
Several of the fraud victims were present in court as well, as they had been for the previous court date on Feb. 25 when sentencing submissions were presented and victim impact statements were filed and read in court.
“I’m still bewildered,” said Laura Lawson, one of the victims, in speaking to reporters.
“I think it was such a waste, and I’m thankful I didn’t invest more than I did.”
The investors were defrauded $639,700 after investing in two of the schemes being promoted by Kaminsky. One was a fictitious private placement called Enviro-Can, a fund that did not exist, as well as Forex, a high-risk exchange that was not licensed in Saskatchewan. The fraud took place between May 1, 2006 and Feb. 28, 2013.
The victims were between 52 and 86 years of age. Her mother and her sister were among those who were victims of the fraud.
The money from the investors was deposited into bank accounts used by Kaminsky. According to the facts, she spent $124,000 on the Shopping Channel and some $5.8 million at the casino, of which she earned back approximately $5.1 million.
In making his ruling, O’Hanlon considered case law and referred to a number of aggravating and mitigating factors. O’Hanlon cited the fact that Kaminsky abused a position of trust, committed the fraud over a period of time and noted the significant impact on the victims. He pointed out Kaminsky did not comply with standards of a financial planner or of a mutual fund representative.
As mitigating factors O’Hanlon cited her co-operation with investigators, no evidence of destruction of records, early guilty plea and no criminal record. But O’Hanlon discounted Kaminsky’s show of remorse during sentencing, and referred to her statement in court during sentencing as showing an “abject lack of comprehension” of the crime she perpetrated.
The four-year term falls in the range called for by the Crown, who suggested a range of three-to-five years and full restitution. Defence lawyer Nicholas Stooshinoff, in his sentencing submission on Feb 25, had called for a range of 18 months to two years less a day.
“The final decision, it always rests with the judge, and the result today is exactly what I asked for,” said Crown prosecutor Alexandra Findlay to reporters outside the courtroom. “I couldn’t have sought a better conclusion to this matter.”
She commented on the aggravating and mitigating factors Judge O’Hanlon considered.
“He did find as an extremely aggravating factor that Kaminsky was in a position of trust, and that she did breach that trust. And that factored strongly in his decision.”
While a full restitution order was issued, it is not known whether Kaminsky will be in any position to repay the money. During submissions Feb. 25, Stooshinoff had suggested Kaminsky would be in no position to pay back money due to her health problems and her age.
Victims still hope to see some of that money returned to them.
“My biggest concern, I guess, is to get the money that we lost back,” said Roger Lavigne, one of the victims. “I’m satisfied with the sentence. I just hope we get our money back.”
Lawson’s reaction to the sentence was similar.
“It’s the end for her,” said Lawson. “It’s not the end for the rest of us, we still hope to get some of our money back. So the fight’s not over.”
