Convicted futures trader loses appeal

A futures trader sentenced to six years in jail for obtaining property and financial advantage by deception and breaching his duties as a company director has lost an appeal against the severity of the sentence.

Spartaco Fasciale, former futures trader and director of Fasciale Futures Trading, was convicted in December 2008 of four counts of obtaining a financial advantage by deception, 10 counts of dishonestly obtaining property by deception and 14 counts of breaching directors’ duties following an Australian Securities and Investments Commission (ASIC) investigation.

He must serve a minimum of four and a half years before he is eligible for parole, and has asked the Victorian Court of Appeal to consider whether the sentence was manifestly excessive, according to ASIC.

Between March 2004 and May 2006 nine people invested over $1.4 million with Fasciale Futures on the understanding that some of the funds would be traded on the Australian Securities Exchange and some would be held in trust, according to the ASIC investigation.

Investors were also advised that Fasciale would make returns of between 3 and 5 per cent every month.

Fasciale subsequently lost over $250,000 of investors’ money trading on futures contracts and used the remaining money to pay investors their returns as well as cover his own lifestyle expenses, ASIC stated.

Fasciale Futures Trading is now in liquidation.