Two plead guilty on insider trading
Two Sydney men have pleaded guilty to insider trading after using inside information to trade shares of resources company UCL Resources earlier this year.
The two men, along with another person, pocketed $20,000.
An investigation by the Australian Securities and Investments Commission (ASIC) found Joe Turner, 23, received information that before the end of April 2013, UCL would announce it had received a takeover offer from Oman-based Mawarid Mining LLC.
Turner then passed on the information to Jonathan Breen, 29, along with money and instructions to buy UCL shares on his behalf. Breen did so on 11 April.
Both men admitted the information was price-sensitive and was not widely available when they appeared in Downing Centre Local Court.
The men from Redfern and Chiswick respectively, face a maximum of 10 years in jail and/or a fine of $765,000.
ASIC noticed the insider trading in April and referred it to its markets enforcement team for investigation and action.
Turner and Breen were released on conditional bail, with the case to return to the Sydney District Court on 8 November for arraignment.
The Commonwealth Director of Public Prosecutions is prosecuting the case.
Recommended for you
Sequoia Financial Group has announced it is selling off its Informed Investor subsidiary which it acquired in April 2022.
Wealth Data has examined which advice business model has seen the most growth since the start of the year including those that offer holistic advice.
Research conducted by Elixir Consulting and Lonsec has quantified the efficiency gains of using managed accounts in financial advice practices in hours per week saved.
With only one-quarter of advice practices actively seeking feedback from clients, the Financial Advice Association Australia has emphasised why this is a critical tool for client retention.