Australian Securities & Investments Commission, in the matter of MG Responsible Entity Limited v MG Responsible Entity Limited [2017] FCA 1531

Australian Securities & Investments Commission, in the matter of MG Responsible Entity Limited v MG Responsible Entity Limited [2017] FCA 1531

MG Responsible Entity Limited breached its continuous disclosure obligations under s 674(2) of the Corporations Act 2001 (Cth) by failing to notify the ASX that MG was unlikely to achieve its forecasts, and the breach was serious, warranting a pecuniary penalty of $650,000 and costs of $25,000.

Parties
Plaintiff: Australian Securities & Investments Commission; Defendant: MG Responsible Entity Limited
Jurisdiction
Australia
Judgment Date
15 December 2017
Procedural Posture
Civil Penalty Proceeding / Judgment and Orders Following Admission and Agreed Facts
Outcome
Contravention declared; pecuniary penalty and costs ordered against defendant.
Legal Topics
Continuous Disclosure, Civil Penalties, Securities Law
Corporations Law Commercial Law Continuous Disclosure Civil Penalties Securities Law

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 2 Authorities cited 7 Party arguments 2 Amounts and remedies 8
Sign in to unlock

Parties

Australian Securities & Investments Commission

Plaintiff

MG Responsible Entity Limited

Defendant

Procedural Posture

Civil Penalty Proceeding / Judgment and Orders Following Admission and Agreed Facts

Legal Issues

  1. 1 Whether MG Responsible Entity Limited contravened s 674(2) of the Corporations Act 2001 (Cth) by failing to notify the ASX of material information
  2. 2 Whether the contravention was serious within the meaning of section 1317G(1A)(c)(iii) of the Corporations Act 2001 (Cth)
  3. 3 What pecuniary penalty and costs order should be imposed for the contravention

Ratio Decidendi

MG Responsible Entity Limited breached its continuous disclosure obligations under s 674(2) of the Corporations Act 2001 (Cth) by failing to notify the ASX that MG was unlikely to achieve its forecasts, and the breach was serious, warranting a pecuniary penalty of $650,000 and costs of $25,000.

Court Disposition

Contravention declared; pecuniary penalty and costs ordered against defendant.

Orders

  • The defendant contravened section 674(2) of the Corporations Act 2001 (Cth).
  • The contravention was serious for the purposes of section 1317G(1A)(c)(iii) of the Act.