10-174AD Federal Court dismisses appeal by Perth broker
Monday 16 August 2010
A decision by the ASIC to ban Osborne Park broker, Mr Roberto Catena, has been upheld following Mr Catena’s unsuccessful appeal to the Federal Court in Perth.
ASIC banned Mr Catena from providing financial services for five years on 4 February 2009. Mr Catena then sought a review of this decision before the AAT. The AAT upheld the banning order effective for five years on 7 May 2010 (refer AD10-119).
Mr Catena was employed as a broker with Citigroup Wealth Advisers Pty Ltd in its Perth office from May 2002 to March 2007.
An ASIC investigation found that between 19 July and 4 August 2006, Mr Catena communicated inside information to six clients regarding the possible takeover of Vision Systems Limited (VSL), a publicly listed company on the Australian Securities Exchange (ASX).
Mr Catena also advised these individuals to acquire VSL shares between 19 July and 9 August 2006.
The ASIC investigation followed a referral from the ASX.
The Federal Court ordered Mr Catena to pay ASIC’s costs of the appeal.
In February 2009, ASIC banned Perth broker, Mr Colin Edward Hebbard, of Gwelup, from providing financial services for five years.
Mr Hebbard was employed as a broker with Citi Smith Barney Pty Ltd (Citigroup) in its Perth office from October 2002 to March 2007.
An ASIC investigation found that between 20 July and 4 August 2006, Mr Hebbard communicated inside information to three clients and another Citigroup broker regarding a possible takeover of VSL. Mr Hebbard also procured these persons to acquire VSL shares (refer AD 09-16).
In January 2010, ASIC banned Melbourne broker, Mr Mark Richard McKenzie, from providing financial services for three years.
An ASIC investigation found that between 26 July and 8 August 2006, while employed as a broker with Citigroup Wealth Advisers Pty Ltd., Mr McKenzie possessed inside information regarding a possible takeover of VSL and purchased VSL shares on his own account and advised four of his clients to purchase VSL shares (refer AD10-08).
Mr McKenzie appealed to the Administrative Appeals Tribunal for a review of ASIC’s decision, and the Tribunal has affirmed the three-year banning.
ASIC's decision to ban Mr Catena for five years was upheld on 11 March 2011 following Mr Catena's unsuccessful appeal to the Full Court of the Federal Court of Australia in Perth.
On 3 September 2010, Mr Catena lodged an appeal of the Federal Court's decision to the Full bench of the Federal Court.
The decision by ASIC to ban Mr Catena for five years has been upheld on 11 March 2011 following Mr Catena's unsuccessful appeal to the Full Court of the Federal Court of Australia in Perth.