The B.C. Securities Commission has alleged a Delta resident committed fraud when he transferred nearly $300,000 from one of the public companies he was directing to a third-party creditor of another company he headed, without disclosing the move to investors.

Jatinder Singh (a.k.a. Jack) Bal was the CEO and a director of Goldeneye Resources Corp. (TSXV:GOE), a junior mineral exploration company in February 2021 when he instructed Goldeneye’s chief financial officer to transfer $297,267 to a creditor of Cache Exploration Inc. (CEXPF), another junior mineral exploration company Bal headed as CEO, according to an Aug. 14 news release from the commission.

Both companies have ceased trading for years. Goldeneye’s shares are valued at $0.015 each.

“Goldeneye raised approximately $500,000 through two private placements with investors who were told the money would be used for general working capital or for general working capital and current liabilities,” the commission noted.

However, much of the money was allegedly diverted.

“Bal did not tell the CFO [the transfer] was to pay off Cache’s debt owed to the third party, but rather gave a false reason for the transfer. This consumed approximately 80 per cent of Goldeneye’s cash,” stated the commission.

It is alleged Goldeneye, under Bal’s direction, did not keep a record of the transfer to the third-party creditor, did not file a material change report and omitted the transfer information from a subsequent news release and from interim financial statements.

By doing so, the commission alleges that Goldeneye and Bal made “false or misleading statements” in a news release and in interim filings, and failed to comply with its continuous disclosure obligations.

The commission’s allegations have not been proven. The commission requires Bal and Goldeneye or their counsel to appear at the commission’s offices on Sept. 15, 2026 if they wish to be heard before a hearing is scheduled.

Business in Vancouver reached Bal Friday via email.

Bal told BIV the money was a loan paid directly by the CFO to the third party creditor and was signed off by directors and announced in a news release.

“I don’t see the fraud,” Bal said. “I did not personally benefit.”

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