Opes Prime directors jailed
Directors of failed Opes Prime Stockbroking Limited (OPSL) have been jailed for dishonestly using their positions as directors, the Australian Securities and Investments Commission (ASIC) has announced.
Lirim (Laurie) Emini and Anthony Blumberg have been sentenced in the Victorian Supreme Court yesterday, which follows guilty pleas of both men at a hearing earlier this month.
Justice Beach sentenced Emini, the company’s former chief executive officer, to 24 months’ imprisonment and ordered him to serve 12 months before being released on a recognisance release order.
Emini’s dishonesty charges related to two transfers then valued at $65 million and $45 million, which were used to provide collateral for loans to OPSL clients where Emini had personal interests.
According to an ASIC investigation, Emini had also “recklessly failed to exercise his powers and discharge his duties as a director”, which relates to events including his signing a $95 million loan with ANZ and altering of financial documents to the detriment of OPSL.
Blumberg, who was sentenced to a one-year jail sentence, would serve six months before being released on a recognisance release order.
His one dishonesty charge relates to the signing of the same documentation concerning the $95 million loan from ANZ Bank.
When handing out the jail sentences, the Supreme Court Judge took into account early guilty pleas of both men, noting they also “demonstrated remorse”.
OPSL collapsed on 27 March 2008 when administrators Ferrier Hodgson were appointed. Ferrer Hodgson were appointed as liquidators on 15 October 2008.
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