• Search:

The Chief Officers' Network - your business advantage / Front / Front Page / AUS: Analyst's wife's pension fund gained from insider trading

Mr Troy Ian Reddell, of Stafford Heights, Queensland, was convicted and fined AUD8,000 in the Brisbane District Court after earlier pleading guilty to one count of insider trading. The Court also imposed a pecuniary penalty order of AUD4,086.80 under the Proceeds of Crime Act. Mr Reddell was charged following ASIC’s investigation into the sale of 24,040 shares in the Peppercorn Investment Fund (PIF) held by Mr Reddell’s wife on 4 May 2004. ASIC alleged Mr Reddell, while employed as an Equity Research Analyst by Brisbane stockbroking firm Wilson HTM, sold PIF shares on his wife’s account on 4 May 2004 after he received information on 30 April 2004 that PIF would fall AUD1 million short of its forecasted profit for the financial year ending 30 June 2004. This information was not generally known to the market until 12 May 2004, when PIF issued a profit downgrade warning. The proceeds from the sale of the shares was AUD41,132.00. The matter was prosecuted by the Commonwealth Director of Public Prosecutions.

Bookmark and Share

Tip a friend

Download PDF Download PDF version of this page





loading