Former Chief Executive Officer of Phosphagenics Ltd, Dr Esra Ogru, and two men involved in the theft of millions of dollars from the listed company, were sentenced today in the County Court of Victoria following charges brought by ASIC.
Dr Esra Ogru
Dr Ogru, 39, of Wheelers Hill, Victoria, was sentenced to six years imprisonment for her role in the theft of more than $6.1 million.
Dr Ogru was ordered to serve a minimum of two years before being eligible for parole.
Following an ASIC investigation, Dr Ogru pleaded guilty to seven charges of obtaining a financial advantage by deception from biotechnology company, Phosphagenics Ltd, and its subsidiary, Vital Health Sciences Pty Ltd (VHS) (refer: 14-209MR).
The personal monetary benefit obtained by Dr Ogru from the false invoices and credit card reimbursements was nearly $3.9 million.
ASIC Commissioner John Price said, 'Dr Ogru's conduct was dishonest and deliberate and showed complete disregard for the company she was appointed to lead.
'As the jailing of Dr Ogru today shows, the consequences for those who steal and deceive are significant and should serve as a lesson for anyone in a position of authority who may be tempted to act fraudulently'.
Dr Robert Gianello
Dr Robert Gianello, a former Phosphagenics employee, was sentenced to four years imprisonment for his role in the theft of more than $4.6 million from the company.
Dr Gianello was ordered to serve a minimum of two years before being eligible for parole.
Following an ASIC investigation, Dr Gianello pleaded guilty to three charges of obtaining money by deception from Phosphagenics and its subsidiary, Vital Health Sciences Pty Ltd (VHS) (refer: 14-125MR).
Dr Gianello, 59, of Sassafras, Victoria, joined Phosphagenics as an employee in July 2008 and, until August 2012, agreed to the submission of the false invoices by a company associated with Dr Woei-Jia Jiang.
Dr Jiang
Dr Jiang, 51, of Glen Waverley, Victoria, was sentenced to two years and six months imprisonment for his role in the theft of more than $4.3 million from the company.
Dr Jiang was ordered to serve a minimum of 12 months before being eligible for parole.
Following an ASIC investigation, Dr Jiang pleaded guilty to three charges of obtaining money by deception (refer: 14-125MR).
Dr Jiang was the director of two companies which submitted false invoices to Phosphagenics and VHS for goods and services that were never provided.
'The jailing of Dr Gianello and Dr Jiang shows the serious consequences of "white collar crime". ASIC will act to ensure that those who act dishonestly and defraud a company are held accountable for their actions and brought before the Courts', Mr Price said.
The three matters were prosecuted by the Commonwealth Director of Public Prosecutions.
Editor’s Note:
On 14 January 2015, Mr Gianello filed an amended application for leave to appeal against his sentence in the Supreme Court of Victoria Court of Appeal. This was granted and the appeal has been listed for hearing on 5 August 2015.
Editor’s Note 2:
The appeal was heard on 5 August 2015 and dismissed.