ASIC has confirmed Avrohom Kimelman was sentenced to an 18-month imprisonment sentence, to be released immediately after entering into a $5,000 recognisance and a two-year good behaviour bond.
On 16 November 2016, Mr Kimelman was found to have conspired to manipulate Quantum’s share price and between 27 April 2016 and 5 May 2016, procured the acquisition of 1,990,963 Quantum shares with the knowledge that the group intended to acquire Nova Minerals subsidiary, Manitoba Minerals.
The conviction has resulted in Mr Kimelman being automatically disqualified from managing corporations for five years.
Judge Meredith noted that had Mr Kimelman not plead guilty, a two year and two-month prison sentence would have been imposed.
“Insider trading and market manipulation impact the integrity of Australia’s financial markets,” ASIC deputy chair Sarah Court said.
“Mr Kimelman sought to manipulate Quantum’s share price and procured the acquisition of almost two million shares while possessing information not available to the market.
“This is serious misconduct that prevents Australia’s financial markets from operating fairly and transparently.”
Neil Griffiths
Neil is the Deputy Editor of the wealth titles, including ifa and InvestorDaily.
Neil is also the host of the ifa show podcast.
