F*** it, I am already naming Som Seif Person of the Year for 2026. Som's parents had the foresight to avoid their native Iran after the Revolution. Som gets to grow up in Canada, rather than under the mullahs of Iran. But he still ends up under the boot of an even more demented group of power-hungry ayatollahs - the Ontario Securities Commission. Tragic!
I hope you will get invested in the story of Som Seif's battle against the OSC. It's pretty arbitrary what stories we get invested in. I hope to convince you that Som vs OSC is as interesting as anything Netflix could come up with. The stakes are high. Som is of Asian heritage, just like me and Amber! (60% of humanity is Asian. In Canada, that number is probably higher.) It seems to me that many Asian cultures place a premium on honor, above all. If Som loses, it will be official government endorsement of how a segment of the industry views him (ie Slippery Som). A Som Seif Schadenfreude Smörgåsboard! If the OSC loses, it will be a continuation of their prolific talent for choke-artistry. The Globe seems to suggest that the OSC pursuing this action against Som is part of the new enforcement director's push to go after more high-profile cases. Som raised the stakes by refusing to settle. Most pragmatic business people in his situation would have settled and then donated to a hospital to launder their reputations. I think a settlement is still a possibility, though maybe one reason he didn't settle is that the penalty on offer was too high, such as a temporary ban from the industry.
Som’s predicament is of course a golden opportunity to test who his true friends are. He has spent quite a bit of time courting powerful people. How are these friends showing up, now that he's in a bit of a pickle?
Just a month before the OSC kerfuffle, Som posted on LinkedIn about receiving the King Charles III’s Coronation medal. 1,272 people liked that post and 238 people commented. Among prominent people who wrote congratulatory messages were Miles Nadal, John Ruffolo, investment banker Neil Selfe, lawyer Walied Soliman, VC Boris Wertz, Jordan Banks (former CEO of Facebook Canada), Donald Guloien (former CEO of Manulife), Mark Maybank (co-founder of Ruffolo’s Maverix Private Equity), Shaun Hauser (CEO of Wellington-Altus), Richard Abboud (Founder of Forum Asset Management), Michael Serbinis (celebrity entrepreneur), David Ossip and Rupert Duchesne.
Just a week later, Som posted a video about his “principled fight” against the OSC.
Only 31 people commented (vs 238 comments when Som was riding high). That’s a significant drop in engagement! In comparison to the list of names above, only 3 prominent people wrote in support: Peter Aceto (former CEO of Tangerine), tech entrepreneur Greg Wolfond and VC Christian Lassonde. I am surprised by this. Even I would say the OSC's case is a waste of regulatory resources and I am no great fan of Som, as you probably know.
BTW, trolling is a very ancient art. When Plato defined man as a “featherless biped,” Diogenes of Sinope, a Cynic philosopher known for stunts, responded by storming into the Academy with a plucked chicken, declaring, “Behold - Plato’s man!” Since that time, Plato’s definition of man has only grown more inappropriate, as we try to make language ever more inclusive. This brings me to John Ruffolo.
“In the End, Som Seif will remember not the words of NoBull Klev, but the silence of John Ruffolo.” -The Rev. Dr. Martin Luther King, Jr.
Wow, that’s really hurtful, why can’t we remember both my beautiful essays on Som Seif and the fact that John Ruffolo has not offered a word of support publicly for his ostensible friend, Som Seif, given his predicament with the OSC? Ruffolo, Ruffolo, why hast thou forsaken thy bosom buddy? Maybe Ruffolo is like God in the Footprints in the sand story. You can’t see his footprints because…never mind, that makes no sense.
Where are the other prominent members of the Domestiques cycling club when their bosom buddy needs them? Where’s Paul Desmarais III, Som’s friends from the Art Gallery of Ontario and his various philanthropic activities? Som Seif is the one who introduced Wealthsimple to Power Corp, when they were nothing. Are they afraid of the OSC or did they finally get fed up with Som’s propensity to BS?
Som has chosen a rather moderate approach to fighting the OSC, expressing disappointment with their action while also saying “My relationship with the OSC spans well over two decades and has been overwhelmingly positive and productive…I will always continue to support the OSC in their important work.” Wow, that might be the phoniest thing he has ever said. The OSC should use that as Exhibit A of what a big phoney he is.
I have previously said that OSC was mostly good at going after small-time ethnic affinity frauds. Well, under the new enforcement sheriff Bonnie Lysyk, they apparently want to go after high-profile people. Though Som, as it happens, is an immigrant. He is actually Mancunian - born in Manchester, UK. But of course, his family is originally from Iran. In fact, his grandpa co-founded Iran, many people don’t know this. OK, I am just being Farsi-cal.
I'm no fan of the OSC. They are essentially a bunch of lawyers second-guessing investment professionals with the benefit of hindsight. Som claims the OSC is going after him for political reasons, but what could those reasons be, when he's spent his entire career sucking up to them? Son, the best time to de-legitimize the OSC was 10 years ago. The second best time is starting today! Biped or otherwise, any position is better than spending life on your knees! Many of Som's compadres are risking their lives to fight tyranny and he can't even bring himself to call a spade a spade and say that regulators are the biggest grifters in all of capital markets? What is the point of imposing 17 million rules on funds and public companies, when a crypto issuer doesn't even have to prove some basic economic substance? It's regulatory theater!
Many people have questioned the OSC’s sense of priorities. The OSC clarified to Bloomberg that while the headlines might say “greenwashing”, the “issue at the heart of the case relates to false and misleading statements” Ah! OK then, case closed, guilty as charged, the OSC has got their man. Som's video defending himself is classic Som. He says the OSC doesn't allege any prospectus misrepresentation, which of course leaves open the possibility that he made misrepresentations outside of a prospectus. Som says in that video that the OSC is wasting tax dollars pursuing its case. I am afraid this is yet another benign MISREPRESENTATION (albeit not in a prospectus!) The OSC isn’t funded by tax dollars. It’s a self-funded Crown agency financed by fees paid by market participants and funds from sanctions and settlements. You have to know your enemy!
"There is a lot to learn if you have a good relationship with the regulators." - Som Seif, in a 2021 podcast
I bet there's even more to learn now that he has a bad relationship with the regulator!
I am sure Som was always on his best behaviour with the regulator, most industry people are afraid. In my experience, this just doesn't work. Regulators are essentially bullies who are high on their power - appeasement doesn't work. I'd like to offer two stories to Som as inspiration. The first is one of my all-time favorites: The Count of Monte Cristo. It's the story of a French sailor who is falsely accused of treason and imprisoned without trial. After years in jail, he escapes, acquires great wealth and returns as The Count of Monte Cristo. He then spends decades plotting the demise of those who betrayed him using legal traps and their own vices. Both the 2002 and 2024 movie versions of this story are great.
Right now, Som is the Count of Monte Crisco (coz oily). He has the wealth and stature, but does he know how to fight, aside from making LinkedIn posts? Another time, I will send you another inspiring story - a story from my own life when I took on the government. It's going to be called That time I was Klevin Brockovich. It's going to be great!
