The compensation deals they cut with the companies are now fair game in court
Two men who allegedly presented themselves as experienced investors must hand over internal records in a lawsuit over a $250,000 investment gone wrong.
The Supreme Court of British Columbia ordered Conor Donald Power, Luka Petkovic, and Parnitha Capital Corp. to produce communications, due diligence files, and compensation agreements tied to money the plaintiff, Pacific Reach Capital Ltd., says it put toward Cannalife Capital Corp. and that was later redirected to LEEF Holdings Inc. Associate Judge Robinson released the decision in Pacific Reach Capital Ltd. v. Power, 2026 BCSC 1073, on June 11, 2026.
At the center of the case is $250,000 that Pacific Reach says it handed the defendants in 2018. According to the claim, the defendants held themselves out as experienced investors with a record of positive returns and pitched an opportunity in Cannalife Capital Corp., telling Pacific Reach the company was close to going public and would deliver a substantial return. The money was supposed to sit in trust with Parnitha and be invested only in Cannalife.
Cannalife never went public. The defendants then allegedly recommended moving the money into LEEF Holdings Inc., saying a merger between the two companies was imminent and that LEEF would list in early 2020. That did not happen either. In April 2022, LEEF was acquired by Icanic Brands Company, Inc. and began trading well below what Pacific Reach says it was promised.
Pacific Reach alleges the defendants breached their fiduciary duties by putting their own interests first and concealing material facts, broke a contractual duty of honest performance, deceived the company, and made misrepresentations it relied on. None of those allegations has been proven, and the defendants have resisted the disclosure demands as overbroad.
The decision itself is procedural, but it shapes how the dispute will unfold. Pacific Reach asked the court to force fuller disclosure after the defendants resisted, arguing the requests were too broad. The judge sided with Pacific Reach on nearly every point, granting the document categories it sought and narrowing only the demand for Parnitha's financial records to those showing how the money moved. The communications, due diligence records, and compensation agreements were all relevant, the court found, to the central question of what the defendants knew when they presented the investment.
That last category may matter most to the industry. During examinations for discovery, Petkovic confirmed the defendants had arrangements with both Cannalife and LEEF to be paid for generating investment. The judge found those arrangements relevant to whether the defendants were in a conflict of interest - the question that shadows anyone paid to place other people's money.
The court ordered the defendants to serve an amended document list and produce the records within 30 days. It declined to make them swear an affidavit verifying their disclosure, finding the dispute over production had been genuine. Pacific Reach, described as substantially successful, was awarded costs in the cause.
