Section 165: Civil liabilities arising from prospectus.

Any manager under a scheme who buys or sells by means of a letter, notice, circular, document or oral communication which:(a) includes an untrue statement of a material fact ; or
(b) omits to state a material fact necessary in order to make the statement, in the light of the circumstances under which it was made, not misleading; is liable to the purchaser of such units or securities who may bring an action before the Tribunal to recover the consideration paid for such units or securities, or for damages if he no longer owns the units or securities; the purchaser not knowing of such untruth or omission and who shall not sustain the burden of proof that he did not know, and in the exercise of reasonable care could not have known, of such untruth or omission.