One executive called it "the whole year was very bad." Investors weren't told why.
British Columbia's securities regulator alleges a fintech firm raised roughly $16 million from investors while concealing steep trading losses.
In an amended notice of hearing dated August 11, 2026, the British Columbia Securities Commission set out allegations against Elixir Technology Inc. (formerly Elixir Income Inc.), the firm's former chief executive officer, and a company director who also worked as a dealing representative at an exempt market dealer that sold Elixir's securities. The notice alleges Elixir raised approximately $16 million CAD from 113 investors without disclosing its poor financial condition, including major losses and insufficient revenue to cover payments owed to investors.
Elixir, incorporated in 2017 and renamed from Elixir Income Inc. in 2019, represented itself to investors as a profitable financial technology company that leased proprietary trading software and generated returns through its own trading accounts. From 2019 through 2022, it raised money by distributing common shares, preferred shares, and bonds, and told most investors they could expect annual interest or dividends of between 6 percent and 11.5 percent.
According to the notice, that picture did not match Elixir's books. During the first half of 2020, the company posted revenue of negative $5.5 million, compared with $290,413 over the same period a year earlier, and its trading software was not functioning properly. The former CEO, who managed Elixir's trading accounts, later described that period as "the whole year was very bad." The notice alleges that by July 24, 2020, Elixir's liabilities exceeded its assets by nearly double - $7.6 million in assets against close to $13 million owed to bondholders and preferred shareholders - and that the company knew it could not sustain its promised payouts.
Despite that, the notice alleges Elixir continued soliciting investors for more than two years, raising approximately $14.6 million CAD and $1 million USD from 113 investors between July 2020 and October 2022, after the exempt market dealer that had distributed Elixir's securities from April 2019 dropped the product in July 2020 over documentation concerns. The dealing representative, who also served as a branch manager at that dealer, allegedly continued referring investors to Elixir and collecting commissions after the dealer cut ties, despite knowing the firm's true financial position. The notice also alleges Elixir made several additional distributions, totaling roughly $2.6 million CAD to more than a dozen investors, without a prospectus or an available exemption.
Separately, the notice alleges the dealing representative gave false or misleading sworn testimony to Commission investigators in November 2024, overstating the closeness of her personal relationships with three investors she had referred to Elixir under a friends-and-family exemption, and denying that she raised capital for Elixir after the dealer stopped offering it.
None of the allegations have been proven. She remains registered as a dealing representative for exempt market securities in British Columbia and Ontario; the former CEO has not held any registration under the Act since April 2018. The Commission has not yet scheduled a hearing on the amended notice.
