TORONTO — Ontario regulators say after reviewing the sale of hotel units to investors in Toronto's Trump International Hotel and Tower, it has decided not to pursue action against the developer.

The Ontario Securities Commission said Tuesday it made the decision after considering a number of factors, including meeting with prospective purchasers. The regulator did not give any further details on the decision.

EARLIER AT HUFFPOST: LEGAL CONFLICTS, POOR SALES JEOPARDIZE DONALD TRUMP'S ICONIC TORONTO TOWER

On Friday, developer Talon International Inc. said it would extend the closing date to Dec. 13 for the sale of hotel condominium units at the downtown Toronto hotel and residence in order to deal with inquiries by the Ontario Securities Commission.

Talon also faces a lawsuit from a group of investors, who sought a formal investigation by the OSC.

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    A picture of Donald Trump appears on a screen as US President Barack Obama tells a joke during the White House Correspondents Association Dinner in Washington, DC, April 28, 2012. The annual event, which brings together US President Barack Obama, Hollywood celebrities, news media personalities and Washington correspondents, features comedian Jimmy Kimmel as the host. AFP PHOTO / Saul LOEB (Photo credit should read SAUL LOEB/AFP/GettyImages)

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    EDINBURGH, SCOTLAND - APRIL 25: Donald Trump speaks to members of public following his address to the Scottish Parliament on April 25, 2012 in Edinburgh, Scotland. Trump spoke of his concerns over a proposed wind farm, mooted to built near his new GBP 1 billion golf resort, telling the Scottish Parliament that they will destroy tourism in the country. (Photo by Jeff J Mitchell/Getty Images)

  • Donald Trump Addresses The Scottish Parliament Over a Proposed Wind Farm Site

    EDINBURGH, SCOTLAND - APRIL 25: Media film Donald Trump addressing the Scottish Parliament on April 25, 20012 in Edinburgh, Scotland. Trump spoke of his concerns over a proposed wind farm, mooted to built near his new GBP 1 billion golf resort, telling the Scottish Parliament that they will destroy tourism in the country. (Photo by Jeff J Mitchell/Getty Images)

  • Donald Trump Addresses The Scottish Parliament Over a Proposed Wind Farm Site

    EDINBURGH, SCOTLAND - APRIL 25: Donald Trump (2nd L) speaks as MSP Murdo Fraser (L) gestures and George Sorial, Executive Vice President and Counsel of the Trump Organisation, and Donald Trump Jr look on during a press conference following his address to the Scottish Parliament on April 25, 20012 in Edinburgh, Scotland. Trump spoke of his concerns over a proposed wind farm, mooted to built near his new GBP 1 billion golf resort, telling the Scottish Parliament that they will destroy tourism in the country (Photo by Jeff J Mitchell/Getty Images)

  • Donald Trump Addresses The Scottish Parliament Over a Proposed Wind Farm Site

    EDINBURGH, SCOTLAND - APRIL 25: A demonstrator holds a puppet of Donald Trump outside the Scottish Parliament on April 25, 20012. Trump spoke of his concerns over a proposed wind farm, mooted to built near his new GBP 1 billion golf resort, telling the Scottish Parliament that they will destroy tourism in the country. (Photo by Jeff J Mitchell/Getty Images)

  • Donald Trump Addresses The Scottish Parliament Over a Proposed Wind Farm Site

    EDINBURGH, SCOTLAND - APRIL 25: Donald Trump speaks during a press conference following his address to the Scottish Parliament on April 25, 20012 in Edinburgh, Scotland. Trump spoke of his concerns over a proposed wind farm, mooted to built near his new GBP 1 billion golf resort, telling the Scottish Parliament that they will destroy tourism in the country. (Photo by Jeff J Mitchell/Getty Images)

  • Donald Trump Addresses The Scottish Parliament Over a Proposed Wind Farm Site

    EDINBURGH, SCOTLAND - APRIL 25: Donald Trump speaks during a press conference following his address to the Scottish Parliament on April 25, 20012 in Edinburgh, Scotland. Trump spoke of his concerns over a proposed wind farm, mooted to built near his new GBP 1 billion golf resort, telling the Scottish Parliament that they will destroy tourism in the country. (Photo by Jeff J Mitchell/Getty Images)

  • Donald Trump Addresses The Scottish Parliament Over a Proposed Wind Farm Site

    EDINBURGH, SCOTLAND - APRIL 25: Donald Trump waves to members of public following his address to the Scottish Parliament on April 25, 20012. Trump spoke of his concerns over a proposed wind farm, mooted to built near his new GBP 1 billion golf resort, telling the Scottish Parliament that they will destroy tourism in the country. (Photo by Jeff J Mitchell/Getty Images)

  • Donald Trump Addresses The Scottish Parliament Over a Proposed Wind Farm Site

    EDINBURGH, SCOTLAND - APRIL 25: Donald Trump is hit on the head by a member of public holding a balloon following addressing the Scottish Parliament on April 25, 20012. Trump spoke of his concerns over a proposed wind farm, mooted to built near his new GBP 1 billion golf resort, telling the Scottish Parliament that they will destroy tourism in the country. (Photo by Jeff J Mitchell/Getty Images)

  • Georgian President Mikhail Saakashvili (

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  • Success By Trump Fragrance Launch

    NEW YORK, NY - APRIL 18: Business mogul/TV personality Donald Trump and Miss Universe 2010 Ximena Navarrete (R) attend the Success by Trump fragrance launch at Macy's Herald Square on April 18, 2012 in New York City. (Photo by Slaven Vlasic/Getty Images)

  • Success By Trump Fragrance Launch

    NEW YORK, NY - APRIL 18: Miss Universe 2010 Ximena Navarrete and business mogul/TV personality Donald Trump (R) attend the Success by Trump fragrance launch at Macy's Herald Square on April 18, 2012 in New York City. (Photo by Slaven Vlasic/Getty Images)

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    NEW YORK, NY - APRIL 18: Donald Trump poses for a photo with Taekwando athletes Steven Lopez (L), Diana Lopez and fencer Tim Morehouse (R) during the Team USA Road to London 100 Days Out Celebration in Times Square on April 18, 2012 in New York City. (Photo by Chris Trotman/Getty Images for USOC)

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    NEW YORK, NY - APRIL 18: Taekwando athlete Diana Lopez performs a kick as Donald Trump holds a bronze medal from the 2008 Beijingduring the Team USA Road to London 100 Days Out Celebration in Times Square on April 18, 2012 in New York City. (Photo by Jeff Zelevansky/Getty Images for USOC)

  • Atlanta Braves v New York Mets

    NEW YORK, NY - APRIL 05: Donald Trump attends the Opening Day Game between the New York Mets and the Atlanta Braves at Citi Field on April 5, 2012 in New York City. (Photo by Nick Laham/Getty Images)

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    MIAMI, FL - MARCH 09: Donald J. Trump watches the play during the second round of the World Golf Championships-Cadillac Championship on the TPC Blue Monster at Doral Golf Resort And Spa on March 9, 2012 in Miami, Florida. (Photo by Scott Halleran/Getty Images)

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    MIAMI, FL - MARCH 08: Donald J. Trump announces his purchase by the Trump Organization of the Doral Hotel & Country Club alongside his daughter Ivanka Trump prior to the start of first round of the World Golf Championships-Cadillac Championship on the TPC Blue Monster at Doral Golf Resort And Spa on March 8, 2012 in Miami, Florida. (Photo by David Cannon/Getty Images)

  • Donald Trump Endorses GOP Candidate Mitt Romney In Las Vegas

    LAS VEGAS, NV - FEBRUARY 02: (L-R) Ann Romney and Republican presidential candidate, former Massachusetts Gov. Mitt Romney, look on as Donald Trump endorses Mitt Romney for president during a news conference at the Trump International Hotel & Tower Las Vegas February 2, 2012 in Las Vegas, Nevada. Romney came in first in the Florida primary on January 31 and is looking ahead to Nevada's caucus on February 4. (Photo by Ethan Miller/Getty Images)

  • Donald Trump Endorses GOP Candidate Mitt Romney In Las Vegas

    LAS VEGAS, NV - FEBRUARY 02: Republican presidential candidate, former Massachusetts Gov. Mitt Romney (L) and Donald Trump arrive at a news conference held by Trump to endorse Romney for president at the Trump International Hotel & Tower Las Vegas February 2, 2012 in Las Vegas, Nevada. Romney came in first in the Florida primary on January 31 and is looking ahead to Nevada's caucus on February 4. (Photo by Ethan Miller/Getty Images)

  • Donald Trump Endorses GOP Candidate Mitt Romney In Las Vegas

    LAS VEGAS, NV - FEBRUARY 02: (L-R) Ann Romney and Donald Trump look on as Republican presidential candidate, former Massachusetts Gov. Mitt Romney, speaks during a news conference held by Trump to endorse Mitt Romney for president at the Trump International Hotel & Tower Las Vegas February 2, 2012 in Las Vegas, Nevada. Romney came in first in the Florida primary on January 31 and is looking ahead to Nevada's caucus on February 4. (Photo by Ethan Miller/Getty Images)

  • Kelly Osbourne Visits "FOX & Friends"

    NEW YORK, NY - DECEMBER 06: (L-R) Donald Trump talks with 'FOX & Friends' hosts Steve Doocy, Gretchen Carlson and Brian Kilmeade at FOX Studios on December 6, 2011 in New York City. (Photo by Astrid Stawiarz/Getty Images)

  • Kelly Osbourne Visits "FOX & Friends"

    NEW YORK, NY - DECEMBER 06: (L-R) Kelly Osbourne gives Donald Trump a Christmas sweater during a live taping of 'FOX & Friends' at FOX Studios on December 6, 2011 in New York City. (Photo by Astrid Stawiarz/Getty Images)

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    NEW YORK, NY - DECEMBER 05: Republican presidential candidate and former Speaker of the House Newt Gingrich (R) speaks to the media as Donald Trump listens at Trump Tower following a meeting between the two on December 5, 2011 in New York City. Gingrich, who's seen a surge in polls in recent weeks, attended a town hall event December 3, 2011 hosted by the Tea Party of Staten Island. (Photo by Spencer Platt/Getty Images)

  • GOP Presidential Hopeful Newt Gingrich Meets With Donald Trump In New York

    NEW YORK, NY - DECEMBER 05: Donald Trump Republican presidential candidate speaks to the media as former Speaker of the House Newt Gingrich (R) listens at Trump Tower following a meeting between the two on December 5, 2011 in New York City. Gingrich, who's seen a surge in polls in recent weeks, attended a town hall event December 3, 2011 hosted by the Tea Party of Staten Island. (Photo by Spencer Platt/Getty Images)

  • Rockefeller Center Christmas Tree Lighting Party

    NEW YORK, NY - NOVEMBER 30: Donald Trump (L) and Melania Trump (R) and son Barron (C) attend Rockefeller Center Christmas Tree Lighting Party at Rock Center Cafe on November 30, 2011 in New York City. (Photo by Gary Gershoff/Getty Images for NBC)

Talon developed and owns the property and licenses the Trump brand name. A company affiliated with U.S. celebrity businessman Donald Trump manages the hotel for Talon.

The investors said every Canadian bank has refused to offer financing to them, despite assurances from Talon that hotel units could be easily financed as residential condo units.

The investors said they've learned that Canadian banks are treating the hotel project as a commercial enterprise and are refusing financing as a condo purchase.

They also say their investments are running up losses of more than $175 a day per unit because of the current shortfall between maintenance fees and hotel unit revenues.

Investors say they're now faced with either having to come up with substantial amounts of cash to close or resort to secondary financial institutions which will only provide partial financing for the project as a commercial investment at high interest rates.

The investors have launched a multimillion-dollar lawsuit against Talon and their directors, as well as a number of Trump organizations and their directors, including Donald Trump Sr.

The plaintiffs' claims allege that investors were persuaded into investing in the Trump Hotel on the basis of alleged negligent or reckless misrepresentations, and that promises and projections offered were allegedly inaccurate and in contravention of securities regulations.

None of the allegations have been proven in court.

In 2004, when the hotel project was first being planned, the investors say Talon sought permission from the OSC to be exempt from regulatory requirements for commercial investments, and provided a number of promises and conditions to obtain those exemptions.

In granting an exemption, the OSC made it a strict condition that Talon and Trump Hotel not market the hotel units as a cash-flow investment.