Home Capital shares plunge more than 60 per cent

Supported By:

Net Patrol International Inc.  Data Investigation and Forensic Services
Bankruptcy and Insolvency Trustees

Shares in Canada’s biggest non-bank mortgage lender dropped more than 60 per cent on Wednesday wiping out nearly $500 million in market value.

The plunge came after Home Capital Group agreed to use a high-interest credit line to strengthen finances after a rough few days for the company, its founder exited the Group after a securities regulator probe.

Earlier this month the Ontario Securities Commission (OSC) issued allegations against the company and several of its former and current executives withheld information about fraud by mortgage brokers.

Read more at Nasdaq

This article is summarized by Canadian Fraud News Inc.