The Australian Securities Exchange (ASX) has fined Findlay & Co Stockbrokers for a series of contraventions, including unauthorised short selling.
The list of contraventions included failing to settle transactions on time, failing to satisfy the risk-based capital requirements, and inadequate reporting that amounted to unprofessional conduct.
The stockbroker has been fined $280,000 plus GST.
Findlay made a number of short sales between 8 October and 19 October 2007 in QR Sciences Holdings, but failed to settle the transaction within the required three days after the transaction took place.
In one instance, it took the firm 13 days after the transaction to settle.
Findlay & Co stopped operating in 2008 and has since been absorbed by Investorfirst.
"We inherited a number of significant legacy issues when taking control over the Findlay business in late 2008," Investorfirst chairman Otto Buttula said.
"The conclusion of this matter was the last major impediment to a full wind down of these non-operating entities and now leaves the board and management team with a clear path to grow the Investorfirst business," Buttula said.
The company said it took a full provision for the fine in the 30 June 2009 financial statements.
