Former Quantum Resources CEO charged with insider trading
23 June 2020, Written by Business News Australia
The former CEO and director of gold mining company Quantum Resources (now known as Nova Minerals (ASX: NVA) has been charged with insider trading offences.
Avrohom Mordechai Kimelman of St Kilda East appeared in the Magistrates' Court of Victoria today charged with four counts of procuring the acquisition of shares in Quantum while in possession of inside information, and four counts of applying for shares in Quantum while in possession of inside information.
The Australian Securities and Investment Commission (ASIC) says Kimelman was a director and CEO of Quantum at the time he applied for and procured the acquisition of approximately 4 million Quantum shares between 13 April 2016 and 5 May 2016.
"ASIC alleges that at that time Mr Kimelman was in possession of inside information concerning the intention by Quantum (now Nova Minerals Limited) to acquire Manitoba Minerals Pty Ltd, which had agreed to acquire an interest in a lithium resource in Canada," says ASIC.
At the time of the alleged offences, each of the charges of insider trading contrary to section 1043A of the Corporations Act 2001 carried a maximum penalty of 10 years' imprisonment.
The matter has been adjourned to a committal mention hearing in the Melbourne Magistrates Court on 4 August 2020.
Business News Australia
Author: Business News Australia