Vancouver Sun - - BUSINESS BC - DAVID BAINES dbaines@van­cou­ver­sun.com

The trial of Adis ( Ady) Golic, leader of the hard-rock biker band Skard, is slated to re­sume on Aug. 23 in Van­cou­ver Pro­vin­cial Court. Golic is charged with il­le­gally sell­ing shares of AD Cap­i­tal U. S. Inc., which was pur­port­edly de­vel­op­ing new muf­fler tech­nol­ogy, through a boiler room in Burn­aby. He is also charged with mis­rep­re­sent­ing the com­mer­cial prospects of that com­pany.

Golic is a rel­a­tive un­known in the se­cu­ri­ties mar­ket. I was able to glean some bi­o­graph­i­cal in­for­ma­tion from the Burn­aby Now, which pub­lished a fea­ture ar­ti­cle on him in March this year.

The Bos­nian na­tive told the news­pa­per that in 1994, when he was 19 years old, he was thrown into a con­cen­tra­tion camp and im­pris­oned for 14 months.

He said a Cana­dian bat­tal­ion even­tu­ally res­cued him. In par­tic­u­lar, he re­called be­ing helped by a Cana­dian sol­dier named An­dre Le­may.

In 1995, Golic moved to Canada and set­tled in Burn­aby. He got a job fix­ing vend­ing ma­chines and in 2001 he formed Skard. “ He’s been play­ing gui­tar for the band ever since,” the news­pa­per re­ported.

Quite by ac­ci­dent, Golic ran into Le­may in Lan­g­ley about three years ago and re­newed their friend­ship. When Golic learned that Le­may’s daugh­ter had a con­gen­i­tal heart de­fect, he held a se­ries of ben­e­fit con­certs and other fundrais­ing ini­tia­tives.

A heart­warm­ing story, for sure. But the ar­ti­cle ne­glected to men­tion two as­pects of Golic’s life that are not so warm and fuzzy.

One is his as­so­ci­a­tion with the Hells An­gels. Skard’s mu­sic videos and pro­mo­tional ma­te­ri­als have a heavy biker theme. One of the band’s videos, en­ti­tled On the High­way, shows Golic on a chop­per be­ing tailed by a po­lice cruiser.

The video also fea­tures sev­eral Hells An­gels, most no­tably John Bryce, pres­i­dent of the East End chap­ter of the Hells An­gels, and Vince Brienza, a for­mer mem­ber of the East End chap­ter and now a mem­ber of the Haney chap­ter.

The other less-en­dear­ing as­pect of Golic’s life is his se­cu­ri­ties prob­lems.

They started in May 2008, when BCSC in­ves­ti­ga­tors — as­sisted by RCMP of­fi­cers — raided Golic’s of­fice at 6929 Royal Oak Ave. and found 10 phon­ers sell­ing AD Cap­i­tal stock, which traded on the lowly Pink Sheets in the United States.

They al­leged the phon­ers told prospec­tive in­vestors that AD Cap­i­tal was de­vel­op­ing muf­fler tech­nol­ogy that would re­duce au­to­mo­bile emis­sions by 97 per cent, and that the com­pany was do­ing so well it had to turn down of­fers of cap­i­tal, and was mak­ing plans to list its shares on the Toronto Stock Ex­change.

They also al­leged the phon­ers had “ call scripts” and “ call sheets” list­ing the names and phone num­bers of prospec­tive in­vestors, with hand­writ­ten no­ta­tions such as “ 1,000 shares booked” and “ closed.”

Usu­ally, the com­mis­sion takes these sorts of cases be­fore BCSC hear­ing pan­els, which can bar of­fend­ers from the se­cu­ri­ties mar­ket and as­sess fi­nan­cial penal­ties, but can­not im­pose jail sen­tences.

In this case, BCSC en­force­ment staff asked Crown coun­sel to lay charges un­der the Se­cu­ri­ties Act and take the mat­ter to crim­i­nal court, where jail sen­tences can be im­posed.

The trial be­fore Judge Joseph Galati started June 6. Crown pros­e­cu­tor Mark Cano­fari al­leged Golic il­le­gally raised just un­der $ 600,000.

A BCSC undercover in­ves­ti­ga­tor tes­ti­fied that she bought $ 1,300 worth of AD Cap­i­tal shares over the phone. She then re­ceived a re­turn call ad­vis­ing that the min­i­mum in­vest­ment was $ 2,000.

She said she agreed to send her “ hus­band,” who was ac­tu­ally a BCSC staff mem­ber, to the of­fice. He took along his “ friend,” who was ac­tu­ally the com­mis­sion’s man­ager of crim­i­nal in­ves­ti­ga­tions. They tes­ti­fied that they handed Golic a cheque for $ 700 and lis­tened for about an hour while he pro­moted the com­pany.

An el­derly cou­ple — both re­tired teach­ers in their 80s — tes­ti­fied that Golic went to their home on sev­eral oc­ca­sions and per­suaded them to give him a to­tal of $ 90,000, os­ten­si­bly for in­vest­ment in AD Cap­i­tal shares.

The hus­band said Golic sub­se­quently showed up at their house and told them the money they had in­vested was at risk, but if they gave him an­other $ 30,000 he would in­vest it sep­a­rately and re­turn all their money.

The hus­band said that was all the money they had left, but he agreed and Golic ac­tu­ally walked him to the bank to get a draft. He tear­fully re­called that Golic later con­fessed he had not in­vested the money as he said he would; rather, he had used it to pay his legal fees.

Court also heard ev­i­dence in­di­cat­ing that some of the cou­ple’s money may have been used to fund Golic’s mu­sic busi­ness. On one oc­ca­sion, the cou­ple gave Golic $ 10,000 to buy shares. Days later, Golic wrote a cheque for an iden­ti­cal amount to Dig­i­tal In­ter­fer­ence, which pro­duced the On the High­way video.

As for the com­pany’s muf­fler’s tech­nol­ogy, an ex­pert wit­ness tes­ti­fied it didn’t work.

The trial was in­ter­rupted af­ter five days due to the short­age of sher­iffs. It is set to re­sume on Aug. 23, when de­fence lawyer Greg DelBi­gio is ex­pected to present his case.

Adis Golic ( right), leader of the band Skard, with John Bryce, Hells An­gels’ East End chap­ter pres­i­dent. Golic is fac­ing crim­i­nal charges un­der the Se­cu­ri­ties Act.

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