Knowledge House fraudster to be sentenced in April

One of three men accused of being a co-conspirator in a stock market fraud involving the failed e-learning company Knowledge House will be sentenced in April.

The lawyer for Bruce Elliott Clarke was in Nova Scotia Supreme Court this morning to set the sentencing dates.

Clarke pleaded guilty last month to being part of a conspiracy to defraud the public market and to defraudinga trust fund set up by the Union Brotherhood of Carpenters and Joiners of more than $5,000.

Knowledge House went under 14 years ago, taking the life savings of dozens of Nova Scotians with it.

The 71-year-old Clarke wasa former stockbroker employed by National Bank Financial.

As a result of the two guilty pleas, Clarke's lawyers anticipate the Crown will enter no evidence on four other fraud charges including three involving fraud over $5,000, which the court will likely dismiss.

Knowledge House president still on trial

The trial continuesfor two other Knowledge House insiders, Dan Potter and Blois Colpitts,the company president and lawyer, respectively. They facecharges of conspiracy to commit fraud on the public market as well as committing fraud over $5,000.

The behaviour of Clarke and his employer, National Bank, were previously the focus of a seven-and-a-half-year lawsuit prior to thecriminal trial.

In May, a Nova Scotia Court of Appeal decision found the bank and the Nova Scotia Securities Commission which brokered a secret deal to keep Clarke and the brokerage's activities under wraps at fault.

As a result of that settlement deal, Clarke was ordered to pay a penalty of $25,000 and $10,000 in legal costs.

Clarke's sentencing hearing for fraudwill begin April 4 and is expected to take four days.