Businessman William Black named chairman of board for national regulator

TORONTO -- Nova Scotia businessman William Black has been named the chairman of the expert board of directors for the proposed national securities regulator.

Black served as the president and CEO of Maritime Life from 1995 to 2004 and has served on a number of boards, including the Bank of Canada's.

He ran for the leadership of the Nova Scotia Progressive Conservatives in 2006, but lost to Rodney MacDonald, who later became premier.

Canada is the only country in the G20 that does not have a national securities regulator, and Ottawa's plans to implement one have been mired in delays.

If it proceeds, the national regulator will be structured as a co-operative body that will be run by all of the participating provinces and territories, which currently include Ontario, British Columbia, New Brunswick, Saskatchewan, Prince Edward Island and Yukon.

The Co-operative Capital Markets Regulator would oversee stock markets by policing abuses and securities fraud. The agency would also administer a single set of regulations and would be funded through a single set of fees.

Under the current system, regulation of the capital markets falls to each individual province or territory.

Quebec has said it will go to court to challenge the constitutionality of creating a national regulator. The province has long argued that the Constitution sets out that the securities industry falls under provincial jurisdiction.

Alberta has also opposed the notion of creating a federal regulator, although B.C. Finance Minister Mike de Jong says the election of an NDP government in the province may change the game.

"We've barely begun conversations with the new government about this matter," he said.

"They are, of course, still fresh in office, so we'll pursue the conversation. I'm hopeful. I have always made the case to my colleagues in Alberta that, done properly, this will have real benefits for Alberta."

The ministers involved in the initiative are hoping the agency will be fully operational in the fall of 2016.

The Investment Industry Association of Canada said in a statement that it applauds the appointment of Black as the chairman of the regulator's board of directors, calling him a "proven leader in the business community."

"Mr. Black has the requisite knowledge and experience in financial markets, has worked closely with the regulatory community and has a strong understanding of public policy," the organization said.