Documents at Montreal Norbourg trial show how clients' money retrieved

A document dubbed "The Octopus" was tabled at the Montreal trial of the former president of the Norbourg investment house Tuesday to show how he allegedly bilked clients of millions of dollars.

The document detailed how three of Vincent Lacroix's Norbourg companies and sevenpersonal bank accounts served as tentacles to retrieve more than $15 million of investors' funds from a securities custodian for his family of firms.

Lacroix faces 51 charges under Quebec securities law that allege he filed 115 false reports with securities regulators. He is alleged to have defrauded 9,200 investors in his company of millions of dollars.

Norbourg's clients and its affiliated companies lost about $130 million of the $205 million placed with Norbourg.

Forensic accountant François Filion, who led the Quebec securities regulator's investigation into Lacroix and Norbourg, testified before Quebec court Judge Claude Leblond the money was moved through 114 fraudulent withdrawals between 2000 and 2005.

The three companies used to access the funds through Northern Trust were Norbourg International Inc., Norbourg Gestion d'actifs Inc. and Norbourg Groupe financier Inc.

Filion explained the money was then either moved to other Norbourg affiliates or into Lacroix's 27 bank accounts.

The forensic accountants examined some 10,000 transactions.

Filion testified that Lacroix used the money to acquire houses and an inn, to make loans and to acquire companies.