Alberta says tiffs over securities regulator could lead to more fractured system

OTTAWA - Alberta Finance Minister Doug Horner says disagreements over a national securities regulator could lead to even greater dysfunction, the very thing the federal government is aiming to resolve.

Horner says provinces outside the national regulator process are working on ways to strengthen the current system and possibly find agreement with all governments.

Provincial ministers met on the issue in Ottawa on Tuesday and are expected to present the federal government with a new proposal by the end of January.

Horner says it would be better if the two camps can meet in the middle on the issue, rather than operate under two different set of rules.

In September, the federal government, Ontario and British Columbia agreed to establish a co-operative approach as a first step toward a national regulator, although some of the smaller provinces are believed to be ready to join.

But Quebec and Alberta say the federally led proposal as currently envisioned is not acceptable and have threatened to go back to court to block the initiative.