what is the ontario securities commission 
the ontario securities commission osc is the largest securities regulator in canada enforcing securities laws in the province of ontario as a crown corporation the osc is answerable to the provincial government of ontario understanding the ontario securities commission osc the ontario securities commission osc regulates exchanges alternative trading systems ats and quotation and trade reporting systems qtrs in the province of ontario like virtually all securities regulators the osc works to maintain market integrity and investor confidence by enforcing securities laws specifically the osc enforces the securities act and the commodity futures act both of ontario the osc develops securities rules by consulting with the canadian public advisory committees and international organizations the commission is empowered to take a range of actions to enforce compliance with ontario securities law it can issue a cease trade order order the restatement and refiling of financial statements and add conditions to a registration it can also following an enforcement proceeding impose sanctions and even fines but recovering damages for defrauded investors is not within its purview the ontario securities commission and srosthe osc currently recognizes two self regulatory organizations sro the investment industry regulatory organization of canada iiroc and the mutual fund dealers association mfda the three organizations divide up compliance review duties the osc reviews advisers exempt market dealers scholarship plan dealers and fund managers the iiroc reviews investment dealers and futures commission merchants the mfda reviews mutual fund dealers these regulatory bodies may subject a firm to a compliance review based on complaints as part of a broad sweep or at random limitations of the ontario securities commissionwhile the osc s mandate to foster fair and efficient markets may seem quite broad there are limits on its ability to regulate in legal gray areas for example in 2017 canadian markets were disrupted by illegal short and distort campaigns in which short sellers spread false information to drive down the price of the stock they re shorting when investors demanded the osc take action the commission explained that there is often little it can do without specific evidence of intentionally fraudulent statements that can be difficult to find and in some cases short sellers are rattling markets without relying on false information at all they are simply identifying a company they believe is overvalued and shorting it while actively campaigning for its price to drop while the osc and iiroc have certain tools to put a damper on the short selling of a stock they are typically averse to using them fearing their interference may be more disruptive than the short campaign 1